Gold prices fell modestly in Asian trade on Monday, retreating further from their recent record highs. Reports suggesting that President Donald Trump’s April 2 tariffs will be less severe than initially feared have dampened safe-haven demand, while a softer dollar helped limit gold’s losses. Broader metal prices, however, saw marginal gains, with copper buoyed by expectations of tighter global supplies amid U.S. tariff concerns and Chinese smelter closures.
At 01:43 p.m. ET, spot gold dipped 0.2% to $3,018.51 per ounce, and gold futures expiring in May steadied at $3,049.30 per ounce. This comes after spot gold reached a record high of $3,057.5 per ounce last week.
Key Market Dynamics
Easing Tariff Fears:Reports from Bloomberg and the Wall Street Journal indicate that Trump will not impose tariffs on key sectors like automobiles, pharmaceuticals, semiconductors, and certain commodities on April 2. His reciprocal tariff plan is expected to be limited to a select group of 15 countries with large trade imbalances, which has reduced concerns about widespread economic disruption.
Impact on Safe-Haven Demand:With a potential easing in tariff pressures, investor risk appetite has improved slightly, leading to reduced safe-haven buying in gold. Despite this, ongoing uncertainty over the U.S. economy and broader trade policies continues to underpin some level of support for bullion.
Broader Metals Movement:While gold experienced a slight retreat, copper prices advanced modestly, supported by expectations of tighter global supplies amid both U.S. tariffs and Chinese smelter closures.
Leveraging FMP APIs for Market Insights
? Commodities APIUtilize this API to access real-time data and historical trends for gold and other key commodities, helping investors track price movements and assess market conditions.
? Forex Daily APIMonitor daily currency fluctuations, especially the performance of the U.S. dollar, which plays a crucial role in influencing commodity prices.
Conclusion
Although gold prices fell slightly on Monday, the market remains in a state of cautious optimism amid evolving U.S. trade policies. With tariff fears easing and risk appetite gradually improving, investors will continue to balance between safe-haven assets and growth opportunities in other metals. Keeping a close eye on commodity trends and currency movements using reliable tools like the Commodities and Forex Daily APIs is essential for navigating these volatile market conditions.
