The USD (United States Dollar) is one of the key factors that can affect the price of Gold. There is an inverse relationship between the USD and gold prices - when the USD is strong, gold prices tend to be weaker, and when the USD is weak, Gold prices tend to be stronger.
This inverse relationship is due to the fact that Gold is priced in US dollars on global markets. When the USD strengthens, it becomes more expensive for buyers holding other currencies to purchase gold, which can decrease the demand for Gold and put downward pressure on its price. Conversely, when the USD weakens, gold becomes relatively cheaper for buyers holding other currencies, which can increase the demand for gold and put upward pressure on its price.
In addition to the strength of the USD, other economic and geopolitical factors can also affect the price of Gold.