CommoditiesConsumer Goods

Gold Prices Surge Near Record High Amid Inflation Concerns

Gold Prices Surge Amid Market Concerns

Gold prices experienced an increase during Asian trading on Tuesday, maintaining proximity to a record high reached in the previous session. This rise is attributed to heightened demand for safe-haven assets in the face of U.S. tariffs and persistent inflationary pressures.

In immediate transactions, gold rose by 0.3 percent to $2,820.69 per ounce by 0252 GMT, following a notable peak of $2,830.49 in the prior trading session. Conversely, U.S. gold futures saw a slight decline of 0.2 percent to $2,852.70.

Recent remarks by U.S. President Donald Trump regarding customs duties on imports from Mexico and Canada suggested a temporary halt to these tariffs for 30 days, contingent upon concessions related to border control measures. Meanwhile, tariffs on Chinese goods are set to take effect later today. Market analysts indicate that Trump’s customs policies are contributing to inflationary trends.

According to Yip John Rong, a market strategist at IG, “Gold prices may continue to receive support amid the current highly unstable environment, as market volatility and political changes are expected to be influential.” Gold has long been regarded as a reliable method for hedging against inflation and geopolitical uncertainty.

Performance of Other Precious Metals

In addition to gold, other precious metals also saw upward trends. Silver gained 0.2 percent, trading at $31.61 per ounce, while platinum climbed 0.7 percent to $970.80. Palladium experienced a 1 percent increase, reaching $1,019.31.

Metal Price (per ounce) Change (%)
Gold $2,820.69 +0.3%
Silver $31.61 +0.2%
Platinum $970.80 +0.7%
Palladium $1,019.31 +1.0%

Overall, the current economic climate continues to bolster the attractiveness of gold and other precious metals as investors seek refuge from market instabilities and inflationary risks.

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