Gold prices surge to record high due to safe-haven demand amid global market uncertainty

From Investing.com: 2025-02-25 02:28:00

Gold prices hit an all-time high on Monday with a 0.52% increase, driven by rising safe-haven demand. Uncertainty in global markets due to Trump’s tariff plans fuel the demand for gold. Additionally, SPDR Gold Shares reported an increase in holdings, supporting XAU/USD. Traders anticipate volatility today due to the U.S. CB Consumer Confidence Index report and Federal Reserve speeches. Analysts predict spot gold to reach $2,971–2,983 per ounce.

The euro gained against the USD but failed to hold above 1.05000 level due to coalition uncertainty after the German election. Business morale in Germany stagnated, indicating deep-seated economic problems. Traders should watch U.S. economic data and Federal Reserve speeches for potential shifts in rate-cut stance.

The Australian dollar lost against the USD as tariff fears loomed after Trump confirmed tariffs on Mexico and Canada would proceed as planned. AUD is highly risk-sensitive and suffers from global economic uncertainty. However, the AUD received minor support from the PBoC’s policy statement. Traders should focus on the U.S. CB Consumer Confidence Index and Australian CPI report for potential impacts on AUD/USD.



Read more at Investing.com: Gold Prices Surge to Record High Amid Rising Safe-Haven Demand