Gold experienced upward momentum, approaching $3,080 in Wednesday’s late American session. Market participants are anticipating the forthcoming US Consumer Price Index (CPI) data release on Thursday. The XAU/USD pair advanced to approximately $3,080, supported by safe-haven demand stemming from heightened trade tensions between the United States and China. President Trump announced a 90-day suspension of new tariffs for most US trade partners at a rate of 10%, intended to facilitate trade negotiations. Concurrently, tariffs on Chinese imports were increased to 125%, citing perceived disrespect towards global markets. This economic uncertainty, coupled with concerns that tariff policies may induce inflation and impede economic growth, is bolstering the appeal of gold as a traditional safe-haven asset. Analysts suggest gold is perceived as a hedge against instability, with tariffs contributing to inflationary expectations and subsequently, higher yields.
