Trump tariffs drive gold to new high, nearing $3,100
File photo shows a U.S. dollar bill and a ounce gold bar placed side by side, accessed on Mar. 28, 2025. (Adobe Stock Photo)
Gold prices soared to a historic high following a renewed surge in global trade tensions sparked by U.S. President Donald Trump’s announcement of new automobile tariffs, with spot prices climbing to $3,086 per ounce on Thursday, setting a new record.
As of 7:40 a.m. GMT on Friday, the price slightly retreated, standing at $3,080.
The spike comes amid growing concerns that trade wars may escalate ahead of new U.S. tariff decisions expected next week while ongoing geopolitical uncertainties continue to fuel volatility in asset prices. According to analysts, the $3,100 level serves as a key resistance point for gold, while $3,050 is seen as a support level from a technical perspective.
Major banks raise gold forecasts
In light of the recent rally, several international investment banks have revised their gold price forecasts, as the precious metal has already surpassed earlier year-end targets.
Swiss-based UBS has increased its year-end price target to $3,200. U.S. investment giant Goldman Sachs also revised its forecast, raising its target from $3,100 to $3,300, with a projected trading range between $3,250 and $3,520.
Bank of America, citing ongoing uncertainties in U.S. trade policy as a supporting factor for gold prices, has also made upward revisions. The bank raised its 2025 forecast from $2,750 to $3,063 and its 2026 estimate from $2,625 to $3,350.
Gold started the year at approximately $2,620 per ounce, gaining around $440 since then.
