WASHINGTON (dpa-AFX) - Gold prices jumped on Friday with news coming out that the US is reportedly planning to impose tariffs on gold imports in a move suggesting that even safe-haven assets are not immune to the volatility set off by trade war.
Front Month Comex Gold for August delivery surged $38.80 (or 1.14%) to $3,439.10 per troy ounce today. Gold has gained $91.40 (or 2.73%) per troy ounce over the week.
Front Month Comex Silver for August delivery rose 25.90 cents (or 0.68%) to $38.417 per troy ounce today. Silver gained $1.6300 (or 4.43%) per troy ounce over this week.
A report from The Financial Times cited a July 31 letter from the US Customs and Border Protection asking for 1-kilo and 100-ounce gold bars to be categorized under a code that enables subjecting them to tariffs. Details of the taxation method via customs are yet to emerge.
Switzerland has become a casualty of this move. It is the biggest player in gold refining with homes to many gold refineries.
Switzerland has a trade surplus with the US that grew by leaps and bounds over the past several months. In the first six months of 2025, it shipped $47.5 billion of gold to the US from $12 billion in the second half 2024. Having been slapped with 39% tariff earlier, its gold exports to the US are liable to face this levy.
Established global trade flow involving traditional movement of large bars between Switzerland, London, and the US stands significantly disrupted.
Aside from this tariff news, gold prices were pushed up today by the increasing optimism about Fed interest rate cuts based on last week's weak jobs data.
In addition, fears of the US economy going into stagflation also supported gold prices.
On the data front, total US consumer credit rose by $7.37 billion in June, accelerating from a $5.1 billion gain in May.
Analysts feel that with US President Donald Trump constantly shifting goal posts in his tariff war with the trading partners, though long-term speculation is difficult, in the short-term if said tariffs remain in place, gold prices may see further upside.
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