London — Gold prices rose on Thursday, bouncing back after a two-day pullback, as persistent concerns over trade tensions and geopolitical instability reignited demand for safe-haven assets. The rebound followed renewed uncertainty surrounding US-China negotiations.
While Treasury Secretary Scott Bessent acknowledged that current tariff levels are unsustainable and will need to be reduced over time, he emphasised that President Trump has no intention of unilaterally lifting tariffs on Chinese imports, tempering market optimism.
Elevated tariff regimes may hinder global growth and exacerbate fiscal challenges, which could drive safe-haven demand and gold prices higher. Geopolitical risks also remain a key factor. Tensions in Eastern Europe and the Middle East intensified, adding to the risks.
Looking ahead, investor attention will turn to Friday’s release of Consumer Sentiment data and further commentary from Federal Reserve officials, which may offer further clarity on the policy outlook and affect market sentiment.
*Christopher Tahir – Senior Market Strategist at Exness
