After a slight decline.. Gold prices rise again

SadaNews - The price of gold has risen to erase a slight decline recorded on Monday, as investors assess mixed messages from the United States regarding the progress in trade negotiations.

Gold increased by 0.5% after falling by the same percentage in the previous session. President Donald Trump stated that he is open to further tariff negotiations with major economies, including the European Union. However, his stance seemed contradictory as he insisted that the messages directed to governments that specify tariff rates "are the deals" for trade partners.

Markets await clarity on trade policies

The precious metal jumped over a quarter this year, recording a record level above $3,500 an ounce in April, enhancing its appeal as a store of value during uncertain times, driven by aggressive and volatile U.S. trade policy.

However, these increases came to a halt over the past three months, as investors await more clarity on the features of the new trade system, and they are hesitant to purchase gold at these high levels.

Fouad Razaq Zada, a market analyst at "City Index", stated: "If trade talks deteriorate before August, we could easily see gold return to test or even exceed its previous record levels. For now, it seems that the market is adopting a wait-and-see approach, keeping gold expectations cautiously tilted towards an upward trend."

Gold rose by 0.5% to $3,360.86 an ounce by 12:37 PM in Singapore. The Bloomberg dollar index remained stable after rising by 0.3% on Monday. Silver remained unchanged after hitting its highest level in 14 years in the previous session before closing lower. Palladium and platinum increased.

Source: Bloomberg