Gold prices soared to a fresh record Thursday, crossing $3,070 an ounce as escalating trade tensions triggered a wave of safe-haven buying and rattled global equity markets. The move comes on the heels of U.S. President Donald Trump's announcement of a 25% tariff on imported vehicles, intensifying fears of a retaliatory trade war.
Spot gold rose 1% to $3,050.32 per ounce in afternoon trading after hitting an intraday peak of $3,059.30. U.S. gold futures settled up 1.3% at $3,061, after reaching a record high of $3,071.30 earlier in the session. The rally marks the 17th time this year that bullion has notched a record high.
"Looks like we're going to see (gold futures hit) $3,100 here shortly," said Bob Haberkorn, senior market strategist at RJO Futures. "The main catalyst is safe-haven buying," he added, citing growing uncertainty surrounding Trump's trade policy.
The tariffs are scheduled to take effect the day after Trump plans to unveil additional reciprocal duties aimed at countries he blames for America's trade imbalance. The move drew sharp responses from global leaders, with Ottawa and Paris threatening retaliatory measures. Shares of leading automakers fell sharply, weighing on global stock markets.
Gold's climb was further supported by ongoing central bank purchases and sustained demand from exchange-traded funds.
Meanwhile, Goldman Sachs raised its year-end 2025 gold forecast to $3,300 per ounce from $3,100, citing stronger-than-expected ETF inflows and resilient official sector demand.
Silver also gained, with spot prices up 1.7% to $34.27 an ounce after touching their highest level since October 2024. May silver futures traded at $34.745, up $0.523 on the day.
In technical terms, April gold futures are displaying strong bullish momentum. "Bulls have the strong overall near-term technical advantage," noted analysts using Wyckoff's Market Rating, which gave gold a 9.5 out of 10. The next key resistance level is $3,100, while support is seen around $2,900.
Silver bulls hold the near-term technical edge as well, with prices locked in a three-month uptrend. Analysts see the next resistance level at $35.80, the high from October 2024, and solid support at $32.215. Wyckoff's rating for silver stood at 7.0.
Other precious metals joined the rally, with platinum rising 0.7% to $981 an ounce and palladium adding 0.3% to $971.25.
