Economic Update
Gold prices experienced a modest decline during Asian trading on Friday morning; however, they are poised to register a weekly gain. This trend has been bolstered by the prevailing uncertainties surrounding U.S. President Donald Trump’s tariff policies, which have increased demand for the precious metal.
As of 0017 GMT, spot gold is down 0.3 percent, trading at $2,900.48 per ounce, after a rise of 1.6 percent during the week.
Meanwhile, U.S. gold futures have also seen a decrease, falling 0.6 percent to $2,908.70.
In the broader precious metals market, silver prices remained stable with little change, holding at $32.60 per ounce.
Platinum prices are hovering around $965.23, while palladium has experienced a slight drop of 0.3 percent, currently priced at $939.25.
In recent developments, President Trump discussed the 25 percent tariffs imposed this week on a variety of goods imported from Canada and Mexico. This move is part of a volatile trade policy that has unsettled financial markets and raised concerns about inflation and potential economic slowdown.
Christopher Wald, a representative from the Federal Reserve, has indicated a tendency to oppose interest rate cuts at the upcoming policy meeting this month. However, he noted that if inflationary pressures persist, cuts may be considered later in the year.
Gold is typically viewed as a safe-haven asset during periods of political uncertainty and inflation. However, prolonged high-interest rates diminish the appeal of non-yielding assets such as gold.
Investors are currently awaiting the upcoming non-farm payroll report, scheduled for release at 1330 GMT. A Reuters survey anticipates an addition of 160,000 jobs for the month of February.
For further updates, subscribe to our channel on Tilekram
