The gold market is losing some ground to the euro after the European Central Bank cuts rates and signals that inflation is settling around its long-term target of 2%.

In a much anticipated move the ECB cut its three key ECB interest rates by 25 basis points. Interest rates on the deposit facility, the main refinancing operations and the marginal lending facility will be decreased to 3.00%, 3.15% and 3.40% respectively, the central bank said.

Although the move was priced in, some market participants could see the cut as a bit of a disappointment, as expectations for a bigger move were being priced in. According to some analysts, Donald Trump’s victory in last month’s Presidential election is driving fears that the European economy could struggle next year. It is expected that President-elect’s focus on tariffs and enacting America-First economic policies will add to the economic malaise in Europe.

Despite the rate cut, gold prices are struggling against the euro. Spot gold last traded at €2.580.03 an ounce, down 0.30% on the day.