Gold Advances on Mounting Anxiety Over Trump Tariff Plans
Published On Feb 17, 2025, 12:15 AM
Gold prices are rising amid growing anxiety about President Trump’s potential tariff plans, particularly a proposed levy on automobiles expected in April. Despite a 1.6% decline on Friday, gold bounced back, trading near $2,900 per ounce. The uncertainty surrounding trade policies has increased gold's appeal as a safe-haven asset, particularly in light of weak US retail sales data, which has led to renewed expectations of interest rate cuts by the Federal Reserve. Recent reports indicate central banks, including China's, are continuing to buy gold, further supporting its price. Gold has gained for seven consecutive weeks, attributed partly to rising holdings in gold-backed ETFs.
Stock Forecasts
GLD
Positive
Given the rising appeal of gold as a safe-haven asset amid trade uncertainties and potential interest rate cuts from the Federal Reserve, investors may find value in gold-related stocks or ETFs. The continued buying from central banks also supports the bullish outlook for gold.
GOLD
Positive
Investors might consider gold mining companies as well, as they often perform well with rising gold prices. Companies like Barrick Gold Corporation are likely to benefit from increased gold valuations, although caution is advised due to market volatility tied to geopolitical events.
Related News
Stock market today: Dow rises, Nasdaq slips as Powell testifies, key inflation data looms
Feb 11, 2025, 4:59 PM
Investors are braced for more Trump tariffs as focus turns to inflation and Fed Chair Jerome Powell's Senate testimony.
Gold rises to fresh record as Trump tariffs trigger haven demand
Feb 3, 2025, 9:53 AM
(Bloomberg) -- Gold rose to a new all-time high amid a rush to safer assets after US President Donald Trump imposed tariffs on Canada, Mexico and China, while threatening to do the same against the European Union.Most Read from BloombergNew York’s First ‘Passive House’ School Is a Model of Downtown DensityWhen French Communists Went on a Brutalist Building BoomTrump Paves the Way to Deputize Local Police on ImmigrationHow the 2025 Catholic Jubilee Is Reshaping RomeHistoric London Elevator Faces
Stock market today: Dow, S&P 500, Nasdaq stumble as Trump recommits to sweeping tariffs on Saturday
Jan 31, 2025, 4:06 PM
Solid results from Apple are buoying spirits, as investors brace for PCE inflation and weigh Trump's renewed tariff threat.