Gold price sinks below $3,000 as USD surges, tariff turmoil stirs recession fears
The post Gold price sinks below $3,000 as USD surges, tariff turmoil stirs recession fears appeared on BitcoinEthereumNews.com.
Gold reaches mid-March low amid US-China trade war escalation and global risk-off sentiment. Trump refutes 90-day tariff pause rumors, propelling DXY to 103.29 and 10-year yields to 4.15%. Investors await FOMC minutes, CPI, and PPI; inflation outlook and rate cut bets grow uncertain. Gold (XAU) price prolongs its agony and plummets by over 2% on Monday as investors seeking safety bid the US Dollar, with US trade policy fueling speculation of a global recession. XAU/USD trades at $2,971, its lowest level since mid-March, below $3,000. The King Dollar is back after reaching a six-month low last week, after US President Donald Trump revealed reciprocal tariffs on Wednesday. Last Friday, China retaliated by imposing a 34% duty on all imports from the US, sparking turmoil in the financial markets as most global equity indices posted losses. Earlier, the White House advisor Hassett announced that the government might approve a 90-day pause in tariffs, though it would depend on Trump. Nevertheless, the Trump administration rejected that statement, which was later revealed as “fake news,” according to CNBC. Bullion prices were also undermined by the rise in US Treasury yields, with the 10-year note coupon increasing by almost fifteen basis points to 4.147%. In the meantime, the US Dollar Index (DXY), which tracks the performance of the USD against a basket of six currencies, climbs 0.39% to 103.29. Ahead this week, the US economic docket will feature the release of the Federal Open Market Committee (FOMC) meeting minutes on Wednesday, followed by the announcement of the consumer and producer inflation data. Daily digest market movers: Gold price tanks as the US Dollar counterattacks US real yields edge surge 14 bps to 1.967%, according to US 10-year Treasury Inflation-Protected Securities (TIPS) yields. The US Consumer Price Index (CPI) is expected to fall from 2.8%…
