WASHINGTON (dpa-AFX) - Gold price rose on Wednesday as new, large-scale US tariff threats start emerging.
Front Month Comex Gold for July delivery gained $4.60 (or 0.14%) to $3,311.60 per troy ounce today.
Front Month Comex Silver for July delivery lost 12.10 cents (or 0.33%) to $36.351 per troy ounce today.
On the trade front, the US government has sent out letters highlighting new tariffs (ranging from 25% to 40%) to its trading partners and is set to send seven more letters today.
As the US President Donald Trump has made it clear that he will not extend the August 1 deadline for trade deals, India is seriously negotiating a trade agreement with the US. EU officials are also holding talks with US counterparts to find ways to strike a balanced deal with the US.
Trump had also warned that BRICS nations would face an additional tariff of 10%. In addition, he has threatened to impose a 50% tariff on copper and a 200% levy on pharmaceutical imports.
Decent US jobs data released last week has put off expectations of a rate cut anytime sooner than September. Within the US, the impact of Trump's tariffs on various countries is expected to show up as boosted inflation. This limits the outlook for further rate cuts.
However, investors are awaiting the minutes of the Federal Reserve's latest monetary policy meeting to be released today as they may shed additional light on the outlook for interest rates ahead of the central bank's next meeting on July 29-30.
On the data front, the US Data on Consumer Credit revealed a rise by $5.1 billion in May. The US Mortgage Bankers Association Index revealed a rise to 180.90 points in July. US wholesale inventories fell by 0.3% to $905.5 billion in May.
Further, the yield on 10-year treasure note held above 4.4% today after rising for five straight sessions.
The Israel-Iran conflict which subsided after Trump's announcement of a ceasefire between the two nations is still holding with no regressive moves or violations from either side.
Hence, an overall favorable market condition for the US Dollar is limiting gold prices from going up.
Copyright(c) 2025 RTTNews.com. All Rights Reserved
Copyright RTT News/dpa-AFX
© 2025 AFX News
