Gold and Electric Vehicle Markets: A New Era of Tariffs and Technology

As gold prices surge close to $3,000 per ounce in Asian markets, central banks and investors cautiously monitor global trade dynamics. The electric vehicle market intensifies with China's BYD undercutting rivals by offering affordable autonomous driving models. Key attention lies on Jerome Powell's testimony concerning inflation and tariffs.

In a significant move, gold pushed towards the $3,000-an-ounce level in the Asian market overnight, influenced by the uncertain landscape created by former President Donald Trump's policies. Central banks and investors have been snapping up gold for months, spurred by concerns over potential U.S. tariffs on the precious metal, leading to a mass movement of gold from London to the U.S.

While stocks largely stabilized, Trump hinted at possible tariff exemptions for Australia after talks with its Prime Minister, indicating the negotiable nature of international trade deals. Trump cited the U.S. trade surplus with Australia, highlighting the country's substantial purchases of American airplanes.

Meanwhile, the electric vehicle sector saw a shift as China's BYD began offering affordable autonomous features, challenging Tesla's market position. On a different note, market eyes are fixed on Fed Chair Jerome Powell's upcoming testimony, with particular interest in his views on inflation and tariff impacts.

(With inputs from agencies.)