Gold Stable, But Not Yet Free from Pressure
Global gold prices held within a high range on Thursday (August 1), hovering around $3,288 per ounce in the European session, after recording a 0.5% increase in the previous session. However, on a weekly basis, the precious metal still recorded a decline of around 1.4%. Investors are currently weighing the impact of a series of new tariffs announced by US President Donald Trump, which will take effect next week, ranging in size from 10% to 41%.
According to Bloomberg Economics, these new policies will push the average US tariff rate up to 15.2%, from 13.3%. This is significantly higher than the 2.3% level in 2024, before Trump's return to office. Uncertainty over trade policy has also increased demand for safe-haven assets like gold, especially amid the uncertain prospect of interest rate cuts and rising geopolitical risks.
Despite briefly hitting a record high above $3,500 per ounce in April, gold has traded within a relatively narrow range in recent months. This is due to the market's growing familiarity with the dynamics of tariff policies and the strength of the US dollar. The dollar itself closed July with its strongest month of 2025, putting additional pressure on gold prices, which are priced in that currency.
Besides tariff issues, investors' attention is also focused on US employment data, which will be released on Friday. The report is expected to show slowing job growth and an increase in the unemployment rate, which could influence expectations regarding the Fed's monetary policy. Meanwhile, silver prices fell more than 4% in a week, and other metals such as platinum and palladium also weakened. (ayu)
Source: Newsmaker.id
