Investing.com-- Gold prices fell slightly in Asian trade on Wednesday, facing some more profit-taking as traders awaited more cues on U.S. President Donald Trump’s plans for increased trade tariffs.
Among industrial metals, copper fell sharply after racing to over nine-month highs earlier in the session, on reports that Trump will impose tariffs on the red metal soon.
Broader metal prices also retreated, with focus this week on a slew of key U.S. economic readings, which are expected to provide more insight into whether growth is cooling.
Gold still remained above the $3,000 an ounce mark, and was close to record highs hit earlier in March. Appetite for havens, despite some recent blips, remained mostly resilient.
Spot gold fell 0.1% to $3,015.73/oz, while gold futures expiring in May fell 0.2% to $3,048.25/oz by 00:29 ET (04:29 GMT).
Gold remains above $3k with Trump tariffs, econ data in focus
Gold demand still remained relatively strong, as markets grappled with a host of uncertainties.
Trump, during an interview with Newsmax on Tuesday evening, offered more cryptic comments on his tariff plans. Trump said that he was seeking to have few exemptions on his tariffs, but that he was being more lenient than strict.
Trump is set to announce reciprocal tariffs against at least 15 major U.S. trading partners on April 2- a day he has repeatedly touted as “liberation day.”
But given his recent flip-flopping on tariffs against Canada and Mexico, markets remained uncertain over the scope and impact of his agenda.
Beyond tariffs, focus this week is on a host of readings for more cues on the U.S. economy.
Durable goods data is due later on Wednesday, followed by a revised reading on fourth quarter gross domestic product. PCE price index data- the Federal Reserve’s preferred inflation gauge- is due on Friday.
Several Fed officials are also set to speak in the coming days.
Among other precious metals, platinum futures fell 0.5% to $970.0/oz, while silver futures fell 0.2% to $34.123/oz.
Copper whipsaws near 9-mth highs on Trump tariff plans
Benchmark copper futures on the London Metal Exchange traded down 1.5% at $9,962.12 a ton, while May copper futures steadied at $5.2440 a pound.
LME futures had rallied to a nine-month high of $10,168.70 a ton earlier in the session, after Bloomberg reported that Trump could impose tariffs as high as 25% on the red metal within weeks, much earlier than a deadline of 270 days.
Copper prices rose sharply through May on bets that Trump’s tariffs will severely crimp U.S. copper supplies.
Additionally, smelter closures in China are also expected to dent global copper supplies.