Gold prices rally to new peak amid fears of upcoming Trump tariffs

Investing.com-- Gold prices notched a new all-time high in Asian trading on Tuesday, boosted by bullion’s safe-haven appeal as market participants braced for upcoming tariff announcements from U.S. President Donald Trump. 

Spot Gold rose 0.7% to $3,148.10 per ounce, its highest level ever, by 02:05 ET (06:05 GMT). Gold Futures expiring in June gained 0.3% to $3,158.10 an ounce.

The yellow metal has hit consecutive fresh record-highs in the last four sessions.

Trump set to impose tariffs on April 2; boosts gold’s haven appeal

The rally in gold prices is largely attributed to investor concerns over the economic impact of impending U.S. tariffs. 

President Trump is set to announce a series of "reciprocal tariffs" on April 2, targeting a broad range of U.S. trading partners without exemptions. 

Trump will unveil the new trade tariffs on April 2 at 15:00 ET (19:00 GMT), U.S. Treasury Secretary Scott Bessent said in an interview with Fox News on Monday.

These measures, dubbed "Liberation Day," include a 25% levy on auto imports and the reinstatement of previously paused tariffs on Canada and Mexico. 

The tariffs aim to counter perceived unfair trade practices and are expected to affect numerous nations with which the U.S. has trade deficits.

The uncertainty surrounding these trade policies has driven investors toward gold, traditionally viewed as a safe-haven asset during times of geopolitical and economic instability. 

Gold prices also remained supported by a weak U.S. dollar.

The US Dollar Index was largely unchanged in Asia hours.

Other precious metals were mixed. Platinum Futures slipped 0.6% to $1,022.75 an ounce, while Silver Futures rose 0.3% to $34.715 an ounce.

Copper gains on strong Chinese factory data

Copper prices rose on Tuesday, as better-than-expected Chinese factory data boosted sentiment.

Data on Tuesday showed that China’s Caixin Manufacturing PMI climbed to 51.2 in March, its highest level since December 2024, indicating a steady expansion in industrial activity.

A higher-than-expected PMI indicates stronger manufacturing activity in the largest copper importer, which translates to increased demand for industrial metals.

Benchmark Copper Futures on the London Metal Exchange rose 0.5% to $9,758.10 a ton. Copper Futures expiring in May gained 0.3% to $5.0665 a pound.