Gold Takes a Breather After Hitting a New Record
Gold reached its eighth all-time high of 2025, edging closer to the $3,000 milestone as investors grapple with growing uncertainty over the impact of U.S. trade policy.
After breaking a new record, gold retreated alongside the dollar on Tuesday as investors braced for further shifts in U.S. trade policy. Meanwhile, Federal Reserve Chair Jerome Powell reaffirmed that the Fed has no plans to change its 2% inflation target or consider rate hikes at this time.
Gold Price Today
Spot gold slipped 0.2% to $2,927.59 per ounce after hitting an earlier session high of $2,942.70. U.S. gold futures dropped 0.4% to $2,897.92. However, gold remains in a strong uptrend, with futures rising 0.1% to $2,936.10, trading at a premium of around $25 over the spot price. The metal’s rally reflects a combination of central bank purchases to diversify away from the dollar, safe-haven demand, and bullish momentum attracting more buyers.
On Monday, former President Trump raised tariffs on steel and aluminum imports to 25%, boosting U.S. steel stocks. He also announced plans for global reciprocal tariffs in the coming days, though he hinted at an exemption for Australia. These measures are set to take effect on March 4.
Market Reactions on Tuesday
In Asia, Chinese markets declined as Beijing’s retaliatory tariffs on U.S. energy and certain products took effect Monday. Hong Kong’s Hang Seng Index (.HSI) fell 1.1% after hitting a four-month high, though it remains up over 12% in the past month, fueled by investor enthusiasm for artificial intelligence and semiconductor stocks.
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