Gold Prices Rise Amid Dollar Weakness and Trade Tensions
Gold prices experienced an uptick on Monday, driven by a weakening US dollar as investors closely monitored potential developments regarding US President Donald Trump’s customs duty strategies, which may intensify global trade tensions.
As of 03:13 GMT, the price of gold in immediate transactions rose 0.6% to $2,899.73 per ounce. This increase follows a significant peak of $2,942.70 reached on February 11.
In the futures market, US gold contracts rose by 0.4%, currently priced at $2,912.50 per ounce. Calvin Young, Chief Market Analyst for the Asia Pacific region at Onda, indicated that the dollar’s weakness, combined with uncertainty surrounding Trump’s dealings with key trading partners and the enforcement of tariffs, continues to bolster gold’s appeal.
Notably, the dollar’s depreciation makes gold less expensive for holders of other currencies, further enhancing demand for the precious metal.
In related markets, silver saw an immediate rise of 0.9%, reaching $32.41 per ounce, following its highest reported level since October 31, 2024, achieved on Friday. Analysts suggest that investor interest in silver may be influenced by a desire to challenge the highest price levels seen in a decade.
Additionally, platinum prices increased by 0.8%, now at $986.85 per ounce, while palladium surged by 2%, reaching $980.70 per ounce.
Summary of Precious Metal Prices
| Metal | Price (per ounce) | Change (%) |
|---|---|---|
| Gold | $2,899.73 | +0.6% |
| Silver | $32.41 | +0.9% |
| Platinum | $986.85 | +0.8% |
| Palladium | $980.70 | +2.0% |
The developments in precious metal markets reflect broader economic sentiments and responses to fluctuating currency values and geopolitical factors. Investors will continue to watch these trends to navigate their investment strategies effectively.
