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Gold Gains as Trump Doubles Down on Tariffs Before Deadline

Gold prices rose on Monday as traders turned to the safe-haven metal amid renewed trade tensions. Former U.S. President Donald Trump reaffirmed his hardline stance on tariffs just days before a key deadline, reigniting concerns over potential disruptions to global trade and market volatility.

Spot gold edged higher by 0.6% to around $2,370 per ounce, while gold futures also posted modest gains, extending last week’s upward momentum. The fresh round of tariff talk sparked risk aversion across equity markets, boosting demand for gold as a store of value. Yahoo!Finance

Trump’s latest comments came during a televised address where he vowed to reimpose aggressive tariffs on imported goods if certain trade terms are not met. The rhetoric rattled investors, many of whom worry that escalating trade barriers could hurt global growth and corporate earnings.

Market Eyes Deadline, Economic Data for Direction

With the trade deadline approaching, market participants remain on edge. The possibility of increased tariffs has raised uncertainty in the equities space, prompting a flight to safety that typically benefits precious metals.

Adding to the bullish tone for gold, the U.S. dollar showed signs of softening, making gold more attractive to international buyers. Meanwhile, Treasury yields held steady, giving further support to non-yielding assets like gold. CNBCTV

Investors will also be watching closely for key U.S. economic data later this week, including inflation and consumer spending reports, which could influence expectations around Federal Reserve policy. Any indication of slowing momentum in the U.S. economy could further bolster gold’s appeal.

Short-Term Outlook Remains Bullish

With geopolitical uncertainty and trade tensions resurfacing, analysts suggest that gold may continue to trend upward in the short term. The metal remains a preferred hedge against volatility and macroeconomic risk, especially in politically charged environments Financial Post

While markets await clarity on tariffs and upcoming economic indicators, gold appears to be regaining its shine among cautious investors.

 

 

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