Gold prices surged on Monday, setting a new all-time high as a weaker US dollar, trade tensions and growing concerns fuelled safe-haven demand.
President Donald Trump’s push against Fed President Jerome Powell could fuel more caution on international markets and a flight toward safe-haven instruments and away from US assets.
Monetary policy developments also supported the rally. The European Central Bank’s recent rate cut further enhanced the appeal of non-yielding assets like gold.
Additionally, geopolitical risks continue to underpin the metal’s strength as tensions continue to climb in Eastern Europe and the Middle East.
Looking ahead, investors will focus on US central bank commentary and upcoming US macro data for further guidance on the economic outlook and implications for monetary policy.
