Gold Prices Surge Amid Trade Policy Turbulence

Gold prices hit a three-week high as U.S. Supreme Court ruling impacts Trump's tariffs, weakening the dollar and increasing demand for gold. The Supreme Court's decision restricts Trump's tariff authority, influencing global trade dynamics and causing a stir in commodity markets, with gold witnessing renewed interest.

Gold prices reached a three-week peak on Monday, driven by a U.S. Supreme Court decision that challenged President Donald Trump's tariffs, subsequently lowering the dollar's value. This development revitalized demand for gold, a favored safe-haven investment during times of economic uncertainty.

The Supreme Court ruled that Trump's tariffs exceeded presidential authority, leading to a drop in the dollar and making dollar-priced commodities more appealing to international buyers. Analyst Ross Norman highlighted confusion around trade tariffs and weak economic data as contributors to the current uptick in gold and silver markets.

In reaction to the ruling, Trump imposed a maximum 15% levy on imports and maintained higher tariffs in existing trade agreements. Concurrently, inflation data and Federal Reserve policies are closely monitored for potential impacts on gold's non-yielding investment allure. Amidst this, global markets are also attentive to evolving U.S.-Iran relations and their potential economic implications.

(With inputs from agencies.)