The price of gold hit a new all-time high on April 21 amid fears of a slowdown in global economic growth caused by the escalating trade conflict between the US and China. About this informs Reuters agency.
On the morning of April 21, the price of gold increased by 1.4% to $3,373.70 an ounce, and during trading reached a new record of $3,385.08. U.S. gold futures rose 1.8% to $3,386.50 an ounce. The dollar index, meanwhile, fell to a three-year low, making gold a more attractive asset for foreign currency holders.
“Fundamentally, markets are taking into account rising geopolitical risks due to tariff tensions from the US and fears of stagflation. In addition, stable demand from central banks supports further price increases.” IG market strategist Yep Jun Rong said.
In other precious metals, silver was up 0.4% at $32.71 an ounce, platinum was up 0.3% at $969.65, while palladium was down 0.5% at $957.68.
We will remind that on April 2, US President Donald Trump announced the introduction of so-called “mirror tariffs” against dozens of countries. While some have been granted reprieve, the overall policy is to increase trade pressure on China.
In response, China warned other states against concluding large-scale economic agreements with the United States that could harm its national interests. According to reports, it is precisely such agreements that the Trump administration is pushing for, demanding concessions in exchange for reduced tariffs.
Against the background of these events, gold has once again become an attractive asset for investors as a “quiet haven” in an unstable environment.
