Gold prices climbed to new highs as investors turned to safe-haven assets amid concerns over tariff proposals. Spot gold rose 1.6% to $2,905.24 per ounce, nearing record levels as markets braced for economic uncertainty.
The renewed push for tariffs, particularly a 25% levy on steel and aluminum, has stoked fears of inflationary impact. Investors responded by shifting funds into gold, reinforcing its role as a store of value.
Beyond trade concerns, the broader macroeconomic environment has fueled gold’s rally. Persistent inflationary pressures and speculation over the Federal Reserve’s next move have markets closely watching CPI and PPI data.
Gold’s rise has also led to increased physical demand from financial institutions. JPMorgan Chase and HSBC Holdings have reportedly moved gold bars from London to New York, taking advantage of price discrepancies.
While gold is surging, other commodities remain mixed. Silver dipped 0.5%, while platinum fell 0.7%. Stock markets have shown volatility as investors assess trade risks and corporate earnings.
As markets digest Trump’s latest moves, focus shifts to Jerome Powell’s testimony before Congress. His remarks could provide insight into the tariffs’ economic impact and whether the Fed may adjust monetary policy.
