GOLD prices steadied near an all-time high on Monday (Feb 24), supported by concerns over US President Donald Trump’s tariff plans, while the focus shifted to a key US inflation report due later this week.
Spot gold was steady at US$2,934.82 an ounce as at 0020 GMT. US gold futures dipped 0.1 per cent to US$2,950.10.
Bullion scaled an all-time high of US$2,954.69 on Thursday.
Trump last week said he would announce fresh tariffs over the next month or sooner, adding lumber and forest products to previously announced plans to impose duties on imported cars, semiconductors, and pharmaceuticals.
This follows the already-imposed additional 10 per cent levy on Chinese imports and a 25 per cent tariff on steel and aluminium.
Traders are closely monitoring the Federal Reserve’s interest rate trajectory for clues, as Trump’s policies are seen as inflationary. If high inflation forces the Fed to maintain rates, gold’s appeal as a non-yielding asset will decrease.
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Markets will next look to the personal consumption expenditures index, the Fed’s preferred inflation measure, due on Friday for more confirmation of the central bank’s rate path.
On the geopolitical front, Trump reversed course on Friday and said Russia did in fact invade Ukraine, and that Kyiv would soon sign a minerals agreement with the United States as part of efforts to end the Ukraine war.
Elsewhere, physical gold demand in China and India remained negligible this week as buyers shied away from purchases due to record-high prices.
Spot silver was down 0.1 per cent to US$32.58 an ounce. Platinum added 0.7 per cent to US$976.25, and palladium firmed 0.4 per cent to US$972.93. REUTERS
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