-->
Gold posted its strongest weekly performance since the early COVID-19 days as global investors rushed to the metal amid rising economic uncertainty.
The sharp rally followed new US tariffs by President Donald Trump.
Traditional safe-haven assets like US stocks and Treasury bonds saw a major sell-off.
Meanwhile, the US dollar dropped to a three-year low against the euro. The fall made gold more attractive to investors seeking stability.
Tensions rose further on Friday.
China struck back with a 125 percent tariff on US imports. Fears of a full-blown trade war increased sharply.
Investors turned to gold for protection during the turmoil.
Market analysts pointed to growing recession risks and financial instability.
Rising bond yields added to the pressure. These factors pushed individual and institutional investors toward gold.
Gold-backed exchange-traded funds (ETFs) recorded their highest inflows since 2020.
Central banks, especially in emerging markets, increased gold purchases. Many are trying to reduce dependence on the US dollar.
In China, domestic gold demand surged. Buyers there paid premiums over international gold prices.
This signals rising anxiety in Asian markets over financial uncertainty.
Reflecting this shift, UBS raised its 12-month gold price forecast to $3,500 per ounce. The bank has upgraded its forecast twice this year.
Experts say this shows how fast the investment climate is changing.
As doubts grow over Trump’s trade policies, analysts expect more money to flow into gold.
The metal continues to shine as a shield against global economic shocks.
Also Read: India Gains Competitive Edge As US Exempts Electronics From Tariffs
To read more such news, download Bharat Express news apps
