Gold Surges Amid Tariff Tensions as Markets Tumble

Global markets plummet due to looming U.S. tariffs announced by President Trump, pushing gold to record highs. Wall Street indices dropped significantly while European and global markets saw decreases tied to auto sector dips. Investors turn to safe-haven gold as geopolitical and fiscal risks escalate.

Global markets faced significant declines as President Trump's announced tariffs prompted fears of a trade war, leading to a new all-time high for gold prices. Key Wall Street indices struggled, with major sectors like technology and financials seeing notable losses, while utilities slightly gained.

The U.S. car tariffs were notably more severe than anticipated, with no leniency for neighbors like Canada and Mexico, commented Michael Metcalfe of State Street. This aggressive stance has raised concerns about further tariff implementations next week, impacting investor risk appetite.

Gold, seen as a haven amidst economic uncertainties, surged to $3,086.70. Meanwhile, U.S. Treasury yields fell, reflecting growth concerns from tariffs. Currency markets saw the dollar weaken, particularly against the euro and yen, as inflation worries compounded.

(With inputs from agencies.)