Gold Soars as Global Panic, Smart Investors Already Taking Action
Global spot gold prices rallied again today, driven by growing market concerns over the threat of new tariffs from the United States and ongoing geopolitical tensions. Amidst uncertain global conditions, gold once again demonstrated its role as a safe haven asset.
The rise in global gold prices occurred despite limited strengthening of the US dollar. Investors continued to choose the precious metal as a form of protection against a potential economic slowdown and market volatility triggered by the White House's latest trade policies.
President Trump again surprised the market with aggressive statements regarding the imposition of tariffs on major trading partners, including China and European countries. This heated trade rhetoric increased demand for safe-haven assets like gold.
The geopolitical situation in Eastern Europe also affected investor sentiment. New US military support for Ukraine, including the Patriot defense system, fueled concerns about a broader escalation of the conflict.
Dovish statements from several Federal Reserve officials hinted at the possibility of a 50 basis point interest rate cut in the coming months. This depressed US bond yields and strengthened gold's appeal.
Spot gold is currently trading at $3,358.30. The price of gold has successfully broken through its 50-day moving average, indicating short-term upward momentum.
The nearest resistance level is around US$3,370, while strong support is seen at US$3,340.
If the price can hold above US$3,360, the potential for an increase to US$3,435 is wide open. (mrv)
Source: Newsmaker.id
