Market Update – Baghdad
Gold prices experienced a modest uptick today, maintaining proximity to the peak levels recorded in the previous session, amid escalating tensions in the trade war between China and the United States. This geopolitical uncertainty has sparked increased demand for gold as a safe haven asset, while investors await upcoming U.S. employment data that may indicate the future trajectory of interest rates.
In real-time trading, gold settled at $2870.16 per ounce as of 03:06 GMT, following its all-time high of $2882.16 achieved in the prior session.
Gold futures in the United States saw a slight decline of 0.2%, trading at $288.30.
“Investors are keen to capitalize on this rise, as they adjust their positions to take advantage of favorable returns. This is contributing to a series of record high prices,” commented Sony Kumari, a commodities strategist at ANS.
“We could see gold reaching $3000 in the near future, but a clearer understanding of trade relations or a mitigation of tensions could further stabilize the market,” she added.
In response to the new 10% tariffs imposed by U.S. President Donald Trump on Chinese imports and the withdrawal of exemptions for low-value parcels, China has lodged a complaint with the World Trade Organization. The Chinese government views these actions as protective measures that violate WTO regulations.
Additionally, China has implemented tariffs on U.S. goods in retaliation, escalating the ongoing trade conflict between the two nations.
The market is also closely monitoring the weekly jobless claims in the United States, set for release at 13:30 GMT, alongside the non-farm payroll report scheduled for Friday, which is anticipated to provide further insights into the overall economic landscape.
Gold remains a preferred investment during periods of economic and geopolitical instability; however, increased interest rates can diminish the attractiveness of non-yielding assets.
In related market movements, silver slipped 0.2% to $32.26 per ounce, while platinum increased by 0.4% to $983.30, and palladium rose 0.5% to $994.17.
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