New US Tariffs Disrupt Gold Market, Futures Prices Soar
Gold futures prices surged more than 1% on Friday morning after a Financial Times report stated that 1-kg gold bar imports are now subject to new tariffs from the US. This contradicts earlier reports that gold and pharmaceutical products would be exempt from the 39% tariff on Swiss shipments to the US.
On the Comex exchange in New York, gold futures rose to around $3,463 per ounce, while spot gold prices edged down 0.1% to below $3,395. The spread between futures and spot prices is now more than 2%—the widest gap in a decade. In the past 10 years, there have only been nine price differences this high, six of which occurred during the April 2020 market crisis.
This sharp rise in futures prices is reminiscent of the turmoil that occurred in the copper market when US tariffs were imposed on the metal. Although the current situation is different, the US government's actions still create significant uncertainty in the precious metals market.
Despite short-term disruptions, gold remains viewed as a strong hedge against the global crisis and declining confidence in the US dollar. Escalating trade tensions have strengthened gold's appeal as a safe haven for global investors.
Key Points:
New US tariffs imposed on 1-kg gold bars from Switzerland
Gold futures prices rise >1% to $3,463, spot prices fall 0.1%
Futures-spot price gap >2%, one of the highest in 10 years
Gold remains a safe haven amid global uncertainty and a weakening dollar.(ayu)
Source: Newsmaker.id
