Gold Daily | Gold Surges Past $2,900 Amid Trade War Fears and Dollar Weakness, Analysts Predict Bullish Trend
Tuesday, Mar 4, 2025 7:01 am ET
1min read 【Latest Gold Price and Recent Trends】
Gold prices have risen rapidly, breaking through $2,920 per ounce due to renewed fears of a global trade war, following the implementation of new US tariffs on Canadian, Mexican, and Chinese goods. Currently, spot gold is up 0.85% at $2,917.
【Technical Analysis】
On the daily chart, gold rebounded from around $2,832 and surged beyond $2,900. The 4-hour chart shows it breaking free from a downward trend line, signaling potential for further gains. The 1-hour chart highlights consolidation near $2,893, with bullish momentum driving prices towards historic highs.
【Market Sentiment and Economic Background】
The recent tariffs have heightened market risk aversion, bolstering gold as a safe-haven asset. The dollar's weakness and US tariff policies have fueled demand for gold. Expected US economic data such as the ADP employment report and non-farm payrolls will be crucial in shaping market expectations regarding Federal Reserve rate cuts.
【Analyst Opinions】
Analysts perceive gold's outlook as bullish, with jpmorgan projecting a long-term structural rise to nearly $3,000 by late 2025. The expectation of central banks purchasing more gold in response to tariffs and potential retaliations supports this view. Nonetheless, higher US inflation could sustain higher interest rates, potentially diminishing gold's allure as a non-yielding asset.
Gold prices have risen rapidly, breaking through $2,920 per ounce due to renewed fears of a global trade war, following the implementation of new US tariffs on Canadian, Mexican, and Chinese goods. Currently, spot gold is up 0.85% at $2,917.
【Technical Analysis】
On the daily chart, gold rebounded from around $2,832 and surged beyond $2,900. The 4-hour chart shows it breaking free from a downward trend line, signaling potential for further gains. The 1-hour chart highlights consolidation near $2,893, with bullish momentum driving prices towards historic highs.
【Market Sentiment and Economic Background】
The recent tariffs have heightened market risk aversion, bolstering gold as a safe-haven asset. The dollar's weakness and US tariff policies have fueled demand for gold. Expected US economic data such as the ADP employment report and non-farm payrolls will be crucial in shaping market expectations regarding Federal Reserve rate cuts.
【Analyst Opinions】
Analysts perceive gold's outlook as bullish, with jpmorgan projecting a long-term structural rise to nearly $3,000 by late 2025. The expectation of central banks purchasing more gold in response to tariffs and potential retaliations supports this view. Nonetheless, higher US inflation could sustain higher interest rates, potentially diminishing gold's allure as a non-yielding asset.
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