Who doesn’t like a safe-haven in this scenario?

Gold soared to an all-time high above $2,877 an ounce, driven by escalating US-China trade tensions and renewed geopolitical uncertainty. Investors sought refuge in the precious metal as Washington imposed fresh tariffs on Chinese imports, prompting a measured but targeted response from Beijing.

The latest round of trade friction saw President Donald Trump slap a 10% tariff on Chinese goods, while China retaliated with levies of its own. Unlike previous trade disputes, Beijing’s response was more restrained, raising questions about its broader strategy. Markets are now weighing the impact of these tariffs on global economic growth and whether they could force a shift in Federal Reserve policy, particularly if inflation accelerates.

Beyond trade, geopolitical risks have added to market jitters. Trump’s proposal for the US to take control of Gaza and oversee reconstruction efforts injected fresh uncertainty into global affairs, reinforcing demand for safe-haven assets.

Meanwhile, the dollar extended losses after weaker-than-expected US jobs data signaled a gradual cooling in the labor market. A softer greenback typically supports gold prices by making the metal more attractive to international buyers.

"Who doesn’t like a safe haven in this scenario?" With little progress in US-China trade talks and rising geopolitical tensions, gold remains a top choice for investors hedging against uncertainty.

Even before the latest trade measures, concerns over tariffs had already jolted US precious metals markets, sending domestic gold and silver prices surging past international benchmarks. Traders rushed to move large volumes of bullion into the US ahead of any potential tax changes, while lease rates for gold and silver in London spiked as demand for short-term metal loans surged.