Gold Prices Surge Amid U.S. Tariff Turmoil and Tumbling Dollar

Gold prices hit a three-week high following a U.S. Supreme Court ruling against Trump's tariffs, which led to a weaker dollar and increased demand for the precious metal. Spot gold rose over 1%, with silver and other metals also seeing gains. Analysts point to economic concerns as key factors.

Gold prices rose significantly, reaching a three-week peak as the U.S. Supreme Court's decision against President Trump's tariffs sent the dollar tumbling. This fluctuation in currency dynamics has reignited demand for gold as a safe-haven investment.

On the market front, spot gold climbed over 1% to stand at $5,152.11 per ounce around 1145 GMT, continuing its upward trajectory from earlier weeks. Along with gold, silver saw a notable increase, with spot prices jumping 2.3%. Analysts attribute the rise in precious metals to the ongoing uncertainty surrounding trade policies and economic growth.

In reaction to the court's ruling, Trump imposed a sweeping 15% levy on imports and maintained higher tariffs with multiple countries. Despite potential headwinds, gold is exhibiting signs of a gradual return to a bullish trend. Market watchers are now keenly awaiting Fed remarks and updates on U.S.-Iran developments to gauge future movements in commodity prices.

(With inputs from agencies.)