GOLD CORRECTS FROM RECORD HIGHS AS TRUMP'S TARIFFS SHAKE GLOBAL MARKETS
GOLD CORRECTS FROM RECORD HIGHS AS TRUMP'S TARIFFS SHAKE GLOBAL MARKETS
Gold prices experienced significant fluctuations following U.S. President Donald Trump's announcement of sweeping import tariffs, introducing both volatility and opportunities for investors.
On April 2, 2025, gold futures surged to a record high of $3,177 per ounce, driven by investor demand for safe-haven assets in response to the tariff news.
Following the initial spike, gold prices corrected, with spot gold falling over 2% from its peak to an intraday low of $3,073.50.
By April 3, gold prices stabilized around $3,121.70, reflecting a 1.4% decline from the record high.
The tariff announcement led to a broad selloff across global markets, prompting investors to liquidate assets, including gold, to raise cash amid increasing uncertainty.
Despite the initial downturn, gold rebounded as bargain hunters capitalized on lower prices, reaffirming gold's role as a strategic diversification tool.
President Trump's introduction of a 10% baseline tariff on all imports, with higher duties on specific countries like China and Vietnam, has led to significant declines in global financial markets, comparable to the initial pandemic impact.
These measures have raised concerns about potential inflation and a possible global economic slowdown, further influencing gold's appeal as a safe-haven asset.
Analysts anticipate that ongoing trade tensions and economic uncertainties could sustain gold's bullish trend, with support levels identified at $3,000 and $2,800.
