Gold Market Update
Gold prices continued to hold firm at elevated levels, with current trading set at $2,903 per ounce.
Recent fluctuations in the gold market can be attributed to U.S. President Donald Trump’s proposed tariffs on various trade partners and the ongoing depreciation of the U.S. dollar.
On Tuesday, gold was valued at approximately $2,910 per ounce.
According to Stanvava, a financial analyst associated with UBS, “The price of yellow metals continues to rise due to the trade war and prevailing concerns over potential consequences.” He further indicated, “The price of gold is expected to approach $3,000 soon, driven by heightened demand for these precious metals, which is providing substantial support for gold prices.”
Trump has indicated potential implementation of new tariffs on imported goods, including automobiles, which are likely to take effect as early as April.
Additionally, ongoing negotiations surrounding the Ukraine conflict are a focal point for gold traders. As noted by analysts at Morgan Stanley, “Should the war in Ukraine come to a conclusion, demand for gold from central banks could decline significantly, potentially exerting downward pressure on gold prices.”