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Gold Hits Highest Price Since October Amid Trump Tariff Talk - BLOOMBERG
(Bloomberg) -- Gold climbed to its highest intraday level since the end of October, with traders monitoring the outlook for the global economy as US President Donald Trump continued sketching out his views on trade and immigration policies.
Trump has widened his tariff threats to China and the European Union on top of his signals targeting Canada and Mexico in the coming weeks. Investors are focused on the implications of the Trump administration’s tariff and tax cut policies, which economists say may reignite inflation — limiting the Federal Reserve’s ability to keep easing monetary policy. Higher borrowing costs typically pose a headwind for bullion since it doesn’t pay interest.
Gold set a series of records last year, with gains driven by the Fed’s pivot to cutting interest rates, geopolitical tensions and central-bank buying. The precious metal may receive a further boost from demand for safe-haven assets amid concerns about the Trump’s immigration policy, as well as scope for increasingly fraught US relations with other nations.
Spot gold rose 0.5% to $2,757.10 an ounce at 12:13 p.m. in New York. The Bloomberg Dollar Spot Index was little changed. Silver edged lower, while platinum and palladium gained.
--With assistance from Andrew Janes, Jack Ryan, Sybilla Gross and Preeti Soni.
