Business
Gold hits record high amid trade war concerns, dollar weakens
Gold hits record $3,393 as dollar weakens and trade tensions rise.
NEW YORK, April 21: Gold prices soared to a new record on Monday, fueled by a weakening dollar and rising global economic uncertainty. The precious metal reached over $3,393 per ounce, driven by safe-haven demand as investors grew cautious amid ongoing trade tensions and concerns over the U.S. Federal Reserve’s stance.
While several markets remained closed for the Easter holiday, global markets continued to react to U.S. President Donald Trump’s ongoing tariff disputes, particularly with China. Several nations, including Japan and South Korea, are in talks with Washington to address trade tariffs, with South Korea’s finance and trade ministers set to hold high-level talks in Washington this week.
However, China has warned against any trade agreements that compromise its interests. The country has retaliated against U.S. tariffs with duties of up to 145 percent on American products, while the U.S. imposed a blanket 10 percent tariff on most other nations. China’s commerce ministry has condemned any attempts to prioritize short-term selfish interests over mutual benefits.
Trump, meanwhile, expressed optimism about a potential deal with China, despite the U.S. closing a tariff exemption for small Chinese parcels earlier this month, targeting low-cost online retailers. Global shipping giant DHL has also suspended deliveries of parcels worth more than $800 from businesses to individuals in the U.S.
The dollar fell against major currencies, including the yen and euro, amid concerns over Trump’s criticism of Fed Chair Jerome Powell, who warned that tariffs could cause inflation. Trump raised doubts about the Fed’s independence, calling for interest rate cuts. This created further uncertainty, with the possibility of Powell being removed from his position, which could harm the dollar’s credibility, according to experts.
In global stock markets, movements were mixed: Tokyo’s market suffered due to a stronger yen, while stocks in Shanghai, Seoul, Singapore, and other Asian markets saw gains. Oil prices also dropped, reflecting growing concerns about demand and the broader global economic outlook.
As the week progresses, traders are eyeing upcoming manufacturing data for indications of how Trump’s tariffs are impacting global economies. Analysts warn that the reputational damage to the U.S. is real, with concerns about the long-term effects on American policymaking and its impact on international relations.
Wallet, KD 85, and Docs Stolen After Car Break-In
Kuwaiti Man Dead Drunk, Insults Cops, Resists Arrest
NBK warns customers about risks of fraudulent online shopping offers
-
Latest News17 hours agoKFF opens registration for Fire Engineering Technology program
-
Politics17 hours agoKuwait Court Confirms Not Guilty Verdict In ISIS Affiliation Charges
-
Latest News16 hours agoKuwait Airways receives second A321neo aircraft from Airbus
-
Politics21 hours agoMOI Launches Major Security and Traffic Campaign in Mahboula
-
Politics18 hours agoUsed Tyres Sold in Kuwait as New
-
Latest News15 hours agoKuwait students take part in International Physics Olympiad
-
Politics19 hours agoKuwaiti Woman Found Not Guilty in Alleged Child Abuse Case
-
Business19 hours agoBoursa Kuwait posts solid gains amid heavy volume