(Bloomberg) -- Gold slipped for a third day, as traders’ caution over future Federal Reserve rate cuts, along with a stronger dollar, tempered the precious metal’s recent surge.

Bullion was trading about $70 short of Wednesday’s all-time high — a record triggered by the US central bank’s announcement of a 25 basis-point rate cut. Prices have since slid after Fed Chair Jerome Powell made comments on the monetary policy path that were less dovish than expected, saying officials were in a “meeting-by-meeting situation” regarding any further easing. Lower rates typically benefit gold, as it doesn’t pay yields.

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Powell’s stance also bolstered the US dollar, which is a negative for gold as it makes it more expensive to purchase in other currencies.

Traders are still pricing in almost two more rate cuts this year, with the expectation of Fed monetary easing a major catalyst in bullion’s 38% surge this year. Prices have also been supported in 2025 by haven demand due to concerns over geopolitical conflicts and the impact of President Donald Trump’s tariffs on the global economy, along with increased central bank purchases and holdings in exchange-traded funds.

Looking ahead, the administration’s attack on the Fed’s independence may further reinforce the rally. Governor Lisa Cook is in the middle of a legal battle with Trump, who sought to fire her on mortgage fraud allegations. The administration’s economic adviser, Stephen Miran, was fast-tracked into the Fed to fill a temporary vacancy. He was also the only one voting against Wednesday’s decision, preferring a half-point cut.

Gold edged 0.2% lower to $3,638.75 an ounce as of 8:45 a.m. Singapore time, little changed for the week. The Bloomberg Dollar Spot Index was flat. Silver, palladium and platinum all declined.

In corporate news, Zijin Gold International Co., a unit of China’s top miner, is seeking to raise $3.2 billion for an initial public offering in Hong Kong that’s poised to be the world’s biggest deal of its kind since May. Trading is set to begin on Sept. 29. Elevated gold prices have provided a tailwind for miners to raise funds for further expansion and to pay off debt.

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