Gold Surges Amid U.S. Tariff Conflicts

Gold prices rose to a three-week high following the U.S. Supreme Court's decision striking down major tariffs by President Trump. This move led to market uncertainties, prompting investors to seek safety in gold. The global economy faces new challenges as the ruling affects trade dynamics.

The price of gold soared to a three-week high on Monday after the U.S. Supreme Court's ruling against President Trump's extensive tariffs fueled economic uncertainty. Investors, reacting to the pressure on the dollar, turned to gold as a safe asset, with spot gold rising 1.1% to $5,158.29 per ounce.

The cancellation of tariffs, initially pursued under emergency law, was a significant setback for the Trump administration and had widespread implications for global markets. Chief market analyst Tim Waterer noted that this development rekindled interest in gold as a defensive investment in the face of potential market volatility.

In response to the court's decision, President Trump announced intentions to increase a temporary tariff on imports, leading to declines in both Wall Street futures and the dollar. This ongoing tariff uncertainty, mixed with geopolitical tensions, signals a turbulent period ahead for the U.S. economy.

(With inputs from agencies.)