Gold prices have risen amid speculation on the ‘liveration day’ tariff announcement. Ricardo Evangelisa, analyst at ActivTrades, said further increases are possible as gold becomes a popular investment during times of uncertainty.
He said: “Following the recent gains, the outlook for gold prices remains skewed to the upside, with further increases possible. Uncertainty surrounding the impact of the US administration’s protectionist policies is fueling concerns about global economic growth, prompting a shift away from risk-related assets such as stocks towards safe havens, which supports gold.
“If the tariffs set to take effect today are implemented, demand for safe-haven assets could rise further, as this scenario has not yet been fully priced in.
“Gold’s appeal as an investment typically strengthens during times of uncertainty. This was evident during the 2008 financial crisis, when the price of the precious metal first reached $1,000, and again in 2020 during the pandemic, when it surpassed $2,000 for the first time.
“A similar pattern is unfolding now, with bullion reaching $3,000 as investors look to safeguard their portfolios against the prevailing uncertainty and market volatility.”