Quote on gold Commentary by Mr. Manav Modi, Senior Analyst, Commodity Research at Motilal Oswal Financial Services Ltd
Below the Quote on gold Commentary by Mr. Manav Modi, Senior Analyst, Commodity Research at Motilal Oswal Financial Services Ltd
Gold prices touched an all-time high in yesterday’s session, underpinned by safe-haven demand after China responded to U.S. tariffs, which were initially imposed by President Donald Trump on the world's largest consumer of gold. China swiftly hit back with tariffs on U.S. imports, intensifying the trade war between the world's two largest economies, even as Trump granted temporary reprieves to Mexico and Canada. Trump said on Tuesday he sees no urgency in speaking with Chinese President Xi Jinping to ease a growing trade war, sparked by his sweeping 10% tariffs on all Chinese imports. The market views the tariffs as inflationary, potentially boosting safe-haven demand for bullion, which is traditionally seen as a hedge against both rising prices and geopolitical turmoil. President Trump also commented that US would take over and develop Gaza strip increasing uncertainties in market. Data showed U.S. job openings in December fell to 7.6 million, falling short of the consensus estimate of 8 million, indicating potential economic slowdown. Dollar index fell sharply from the recent high of ~109.80 to currently at ~107.90 further supporting precious metal pack. Focus today will be on US private payroll data and services PMI from major economies.
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