Gold prices nudged higher on Wednesday, up 0.1% to $2,918.83 per ounce, supported by a U.S. dollar that fell to three-month lows and rising political uncertainty after President Trump announced new tariff measures.
The metal has climbed about 11% so far this year and hit an all-time high of $2,956.15 on February 24. Analysts remain largely bullish on the outlook for gold as investors seek safe-haven assets amid trade tensions and policy uncertainty. In his address to Congress, President Trump outlined plans to impose “reciprocal tariffs” beginning April 2, following earlier moves that included 25% duties on certain Mexican and Canadian imports and a doubling of tariffs on some Chinese goods to 20%.
At the same time, China has introduced additional fiscal stimulus measures intended to help offset the economic effects of the widening trade dispute. Market participants are now focused on Friday’s U.S. nonfarm payrolls report for further direction, although some analysts, including Zain Vawda, argue that geopolitical developments are exerting a stronger influence on prices than near-term economic indicators.
Other precious metals also advanced on Wednesday: silver, platinum and palladium each gained about 1% as investors rotated into a range of safe-haven and industrial metals amid heightened uncertainty.
Looking ahead, gold’s trajectory will likely depend on the interplay between monetary policy expectations, the strength of the U.S. dollar, and the course of global trade negotiations. Any extension of tariff measures or escalation in trade friction could sustain demand for bullion, while signs of easing tensions or firmer U.S. economic data might temper the recent gains.