Gold Holds Near Record as Trump’s Car Tariffs Boost Haven Demand
Gold was steady for second day, finding support near a record high as US President Donald Trump announced tariffs on all auto imports, intensifying trade tensions and bolstering haven demand.
Bullion traded near $3,023 an ounce, less than $40 short of last week’s all-time peak. On Wednesday, Trump signed a proclamation to implement a “permanent” 25% tariff on all cars not made in the US from April 2.
Still, concerns the president will keep escalating trade tensions between the US and global partners were partially alleviated when he said some reciprocal duties set to be announced next week would be “very lenient.” Trump also said he would consider lowering tariffs on China to secure Beijing’s support for a sale of TikTok’s US operations to a local company.
Trump’s shifting messaging on his tariff agenda has added uncertainty and volatility into global markets. That’s contributed to gold’s 15% gain so far this year, along with central-bank buying, geopolitical uncertainty and bets on more Federal Reserve monetary easing.
Gold was little changed at $3,023.49 an ounce at 8:14 a.m. Singapore time. The Bloomberg Dollar Spot Index rose 0.1%. Silver edged up, platinum was steady and palladium was lower.
Source : Bloomberg
