Gold prices rose by more than $20 during trading on Monday, as the yellow metal continued to receive support from investor concerns regarding Trump's tariff plan and the potential trade war that could ensue, amidst expressions of discontent from many major countries regarding the imposed tariffs.
These worries led to increased investor demand for gold as a safe haven amid rising uncertainty about the potential economic impacts of the tariffs and the possible trade war on the global economy and growth.
This came after Trump renewed his threats to impose tariffs last Friday, indicating that tariffs on cars would be implemented starting from April 2, shortly after he instructed officials to consider imposing reciprocal tariffs against countries that impose tariffs on American goods.
The rise in gold today comes as investors await statements from a number of members of the U.S. Federal Reserve later today, as well as Trump's remarks tomorrow, just one day before the minutes of the Federal Open Market Committee meeting at the U.S. Federal Reserve are released.
In terms of trading, spot gold prices rose by 0.75% to record $2,906.4 per ounce, while April futures gold contracts increased by 0.46%, reaching $2,916.30 per ounce.
