Gold price surges on weak US ISM report; trade tensions boost safe haven demand
The post Gold price surges on weak US ISM report; trade tensions boost safe haven demand appeared on BitcoinEthereumNews.com. Gold rallies from $3,343 low after ISM and ADP reports confirm US economic slowdown. Trump signs executive order raising metal tariffs to 50%, escalating US-China trade tensions. Fed officials remain cautious on easing; markets await Jobless Claims and NFP for further policy cues. Gold price rallied over 0.80% on Wednesday during the North American session. The release of weaker-than-expected economic data from the United States (US) pushed XAU/USD higher as business activity softened and the jobs market added fewer people to the workforce. The golden metal trades at $3,382 after hitting a daily low of $3,343. Sino-US tensions had driven Bullion prices higher. Uncertainty about the outcome of the trade discussions between the White House and China and softer economic data in the US would underpin Gold prices. In the meantime, US President Donald Trump signed an executive order increasing the levies on steel and aluminum from 25% to 50%, effective June 4, ahead of a scheduled phone call between Trump and China’s President Xi Jinping later this week. US economic data revealed that the economy is cooling, which could warrant further action by the Federal Reserve (Fed). The Institute for Supply Management (ISM) showed that business activity in the services sector contracted for the first time in almost a year. At the same time, private hiring in the country slowed sharply in May, according to the ADP National Employment Change data. Following the data release, Trump complained about Fed Chair Jerome Powell being too late to lower borrowing costs. During the week, Fed officials expressed that they’re patient regarding resuming the ongoing easing cycle that started in the second half of last year, adding that the impact of tariffs is unknown, which could fuel a persistent rise in prices. Ahead this week, traders are eyeing US Initial Jobless Claims…
The post Gold price surges on weak US ISM report; trade tensions boost safe haven demand appeared on BitcoinEthereumNews.com.
Gold rallies from $3,343 low after ISM and ADP reports confirm US economic slowdown. Trump signs executive order raising metal tariffs to 50%, escalating US-China trade tensions. Fed officials remain cautious on easing; markets await Jobless Claims and NFP for further policy cues. Gold price rallied over 0.80% on Wednesday during the North American session. The release of weaker-than-expected economic data from the United States (US) pushed XAU/USD higher as business activity softened and the jobs market added fewer people to the workforce. The golden metal trades at $3,382 after hitting a daily low of $3,343. Sino-US tensions had driven Bullion prices higher. Uncertainty about the outcome of the trade discussions between the White House and China and softer economic data in the US would underpin Gold prices. In the meantime, US President Donald Trump signed an executive order increasing the levies on steel and aluminum from 25% to 50%, effective June 4, ahead of a scheduled phone call between Trump and China’s President Xi Jinping later this week. US economic data revealed that the economy is cooling, which could warrant further action by the Federal Reserve (Fed). The Institute for Supply Management (ISM) showed that business activity in the services sector contracted for the first time in almost a year. At the same time, private hiring in the country slowed sharply in May, according to the ADP National Employment Change data. Following the data release, Trump complained about Fed Chair Jerome Powell being too late to lower borrowing costs. During the week, Fed officials expressed that they’re patient regarding resuming the ongoing easing cycle that started in the second half of last year, adding that the impact of tariffs is unknown, which could fuel a persistent rise in prices. Ahead this week, traders are eyeing US Initial Jobless Claims…
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