Gold Rises, Trump Tariff Uncertainty Shakes Market
Gold prices strengthened after posting three consecutive weeks of gains, as escalating US trade policy pressured the dollar. Bullion briefly rose to around $5,180/oz, helped by a weakening greenback, which made gold cheaper for buyers outside the US.
The main trigger came from President Donald Trump's tariff maneuver. After the US Supreme Court rejected the use of emergency tariffs, Trump recently announced a 15% global tariff. The court ruling also raised market doubts about the robustness of the US trade deal: European Parliament trade officials, including those seeking to delay ratification of the deal, India postponing a meeting with the US, and Japan, which called the situation "chaotic," divided gold.
This rally helped recover from a sharp correction earlier in the month that dragged prices down from record highs. The upward trend is still supported by structural factors: geopolitical tensions, investor caution regarding government bonds, and growing doubts about major currencies.
However, market volatility assessments remain high. Besides the tariff drama, Middle East geopolitical risks are also a catalyst: the US-Iran dispute remains fraught over its nuclear program, while the US is also strengthening its military presence in the region, fueling escalating concerns. In Monday's trading, gold rose about 1.3% to $5,174.75/oz; the Bloomberg dollar fell 0.2%, while silver jumped 3.4% to $87.53, and other precious metals also strengthened. (asd)
Source: Newsmaker.id
