In times of global economic instability and trade tensions, gold prices are showing impressive growth. The ongoing trade war between the US and its key partners, coupled with the weakening US dollar, has significantly influenced the price of gold. Let's explore the main factors contributing to the increase in the precious metal's value.
Gold prices dipped on Friday as investors reassessed their risk exposure following the imposition of new tariffs by U.S. President Donald Trump. However, it is important to note that despite this decline, gold has been on an upward trajectory for the fifth consecutive week, reaffirming its status as a safe-haven asset during market volatility.
Recent developments indicate a modest but steady increase in gold prices. The rise has been driven by the weakening of the US dollar and significant flows into safe-haven assets against the backdrop of escalating global trade tensions. Market participants are closely monitoring signals from the US Federal Reserve regarding future interest rate policies.
Harmony Gold Mining Co., the largest gold producer in South Africa, has reported impressive financial results, buoyed by a substantial rise in gold prices. This achievement has enabled the company to increase net profit by nearly a third in the first half of the current fiscal year.
On Thursday, US stock markets faced a significant downturn due to ongoing uncertainties surrounding tariffs and disappointing forecasts from Walmart $WMT. This combination of factors dampened investors’ appetite for risk, leading to broad sell-offs. All three major US stock indexes ended the day in negative territory, with the Dow Jones Industrial Average suffering the steepest decline. Meanwhile, gold prices soared to record highs, underscoring a shift toward safe-haven assets amid growing instability.
On Tuesday, gold prices continued their upward trajectory, fueled by ongoing uncertainty surrounding the tariff policies of U.S. President Donald Trump. This environment has driven increased demand for safe-haven assets like gold, as global markets face heightened fears of a potential trade war.
Gold futures experienced a rise during Thursday's Asian trading session, drawing considerable attention from market participants. On COMEX, a division of the New York Mercantile Exchange, April gold futures reached a price of $2,797.06 per troy ounce. This movement reflects both the current economic environment and the market's future expectations.
Gold prices remained stable as investors awaited the outcome of the U.S. Federal Reserve's (Fed) meeting. The global financial market anticipates any signals on how President Donald Trump's policies have influenced the central bank's decisions on monetary policy.
The global precious metals market has seen notable changes. On Friday, gold futures for February delivery traded lower on the COMEX exchange, a division of the New York Mercantile Exchange. According to recent data, their price dropped by 0.24%, reaching $2,744.24 per troy ounce. This development has drawn attention from professionals and experts in the precious metals sector.
