Gold Prices Hit Record High as US Auto Tariffs Fuel Global Trade Tensions and Safe-Haven Demand

Gold surged to a historic peak on Thursday

Key Drivers:

Trade Retaliation Risks: Canada, France, and other nations threatened countermeasures after Trump’s tariff announcement, set to take effect alongside reciprocal duties targeting trade-deficit partners.

Equity Market Turmoil: Global stocks slumped, with automaker shares plunging as tariffs rattled supply chain confidence (MKTS/GLOB).

Central Bank & ETF Demand: Sustained institutional buying and ETF inflows bolstered gold’s rally, per Phillip Streible of Blue Line Futures.

Market Sentiment:

Fed Policy Watch: Investors await Friday’s U.S. PCE data for clues on rate cuts after the Fed held rates steady. Gold thrives in low-rate environments as a hedge against economic uncertainty.

Goldman’s Bullish Outlook: The bank raised its **2025 gold forecast to
3300/oz, citing robust demand and geopolitical risks.

Gold Prices Hit Record High as US Auto Tariffs Fuel Global Trade Tensions and Safe-Haven Demand
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