Breaking News: Gold Futures Ready for Sharp Reversal After Hitting Day’s High Amid Global Trade War Concerns
Gold prices surged to $2968.39 today amidst escalating worries over the ongoing global tariff trade war initiated by US President Donald Trump. The uncertainty sparked by Trump’s reciprocal tariffs on numerous countries has led investors to seek safe-haven assets.
Central banks have been stockpiling gold reserves in anticipation of future fiscal deficits, driving prices to levels that could potentially trigger inflation and recession fears worldwide.
Meanwhile, the Federal Reserve is expected to delay further interest rate cuts due to concerns about inflation rising as a result of recent tariff policies.
Given the current landscape, it is likely that gold futures have reached their peak and could see a selling spree this week. Traders are advised to monitor inflation data closely before considering a short position in gold, setting a stop loss at $3006 and a target of $2702 by Mar. 12, 2025.
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Disclaimer: This analysis is based on observations and readers are encouraged to trade gold at their own risk.