Gold Prices Rise Amid Tariff and Geopolitical Uncertainty

Gold prices increased due to a weaker dollar and geopolitical tensions, including U.S. tariff policies and U.S.-Iran talks. Spot gold rose 0.4% to $5,192.28 per ounce as of 0500 GMT, while U.S. gold futures for April fell 0.3% to $5,208.80. Markets anticipated Federal Reserve rate cuts.

Gold prices saw an uptick on Thursday, driven by a softer dollar amidst a backdrop of safe-haven demand due to uncertainties in U.S. tariff policies and upcoming U.S.-Iran discussions. Spot gold reached a three-week peak earlier in the week, reflecting the market's nervous stance on geopolitical developments.

The futures market also felt the impact, with U.S. gold futures for April showing a slight decline. According to Christopher Wong from OCBC, price movements show a reinterpretation of policy unpredictability and the dollar's performance. Concurrently, the dollar weakened as Nvidia's positive earnings report buoyed investor sentiments.

The U.S. Trade Representative announced an increase in certain tariff rates, adding to the market's caution. Economic players are watching for the latest jobless claims data for insights into the Federal Reserve's future actions. Additionally, white metals like silver are gaining an edge over gold, as noted by Deutsche Bank's forecast.

(With inputs from agencies.)