abrdn Physical Gold Shares ETF is trading 3.2% down today as physical gold prices retreat following the latest U.S. inflation data and subsequent moves in interest rates and the dollar.
- The sell-off is primarily tied to shifting expectations for Federal Reserve interest rate cuts after the CPI release, which has strengthened the U.S. dollar.
- The magnitude of the move indicates a targeted safe-haven reversal, contrasting with only modest losses in broader equity indices.
- As the fund directly tracks physical gold prices, it is reflecting the immediate downward pressure on the underlying commodity following the economic data.