Gold prices reached an unprecedented peak above the crucial $3,000-mark on Tuesday for the second occasion within a week, as investors sought refuge amid economic uncertainties spurred by U.S. President Donald Trump’s tariff policies. Additionally, increased geopolitical tensions in the Middle East heightened the demand for safe havens.
In the UAE, gold rates surged today, with 24-carat gold increasing by AED2.25 to reach AED362.75. The price of 22-carat gold rose by AED0.50 to AED336. Similarly, 21-carat and 18-carat gold prices climbed AED0.25, now standing at AED322 and AED276, respectively.
Spot gold increased by 0.2 percent to $3,006.88 an ounce as of 05:25 GMT, after achieving a record high of $3,016.92 per ounce earlier in the trading session. Gold surpassed the $3,000 per ounce mark for the first time on Friday.
U.S. gold futures rose by 0.4 percent to $3,017.20. Meanwhile, the U.S. dollar index lingered near a four-month low, making gold more affordable for international buyers. Traditionally viewed as a hedge against geopolitical instability, gold has surged more than 14 percent year-to-date. Since Trump assumed office in January, gold has hit record highs 14 times as trade tensions have intensified the demand for safe havens.
Read more: UAE gold prices flat, global rates climb on safe-haven demand near $3,000
Trump tariffs
Trump has proposed a series of tariffs, including a flat 25 percent on steel and aluminum that took effect in February, and reciprocal and sector-specific tariffs that he indicated will be implemented on April 2. This week, new economic forecasts from Federal Reserve officials are expected to provide the most concrete evidence of the probable effects of Trump administration policies.
Beyond the Federal Reserve, meetings of the Bank of Japan and the Bank of England are also scheduled for this week.
Spot silver increased by 0.1 percent to $33.85 an ounce, platinum gained 0.2 percent to $1,002.50, and palladium climbed 0.4% to $968.96.
Copper prices were supported by optimism regarding additional stimulus measures in the leading importer, China.
