Gold prices rise amid uncertainty over U.S. trade negotiations

Published 21/07/2025, 06:46
Updated 21/07/2025, 11:44
© Reuters.

Investing.com-- Gold prices rose slightly in European trade on Monday, taking some support from haven demand fueled by persistent uncertainty over elevated U.S. tariffs set to take effect in the coming weeks.

A mild pullback in the dollar, after a two-week ascent, also helped spur some gains in metal markets, although gold remained squarely in a $200 trading range seen since at least April.

Spot gold ticked higher by 0.5% to $3,365.49 an ounce, while gold futures for September rose 0.4% to $3,372.88/oz by 06:23 ET (10:23 GMT).

Gold gains amid murky tariff outlook 

Advances in gold came after the Wall Street Journal reported on Sunday that the European Union was preparing retaliatory measures for U.S. President Donald Trump’s trade tariffs.

This was in response to U.S. officials demanding more concessions from the bloc for a potential trade deal, including a baseline tariff rate of 15%, which caught EU negotiators off guard.

The WSJ report underscored uncertainty over U.S. trade policy, especially as an August 1 deadline for Trump’s tariffs to take effect draws closer. Commerce Secretary Howard Lutnick on Sunday said that August 1 was a hard deadline for the tariffs, which range from 20% to as high as 50% on major economies. 

Platinum, silver upbeat and near recent peaks

Broader metal prices advanced on Monday, taking advantage of a mildly softer dollar.

Spot platinum rose 1.3% to $1,443.30/oz, while spot silver rose 0.7% to $38.4595/oz.

Both precious metals have vastly outpaced gold in recent months, helped by a mix of bargain buying and by growing expectations of tighter supplies and increasing demand.

Platinum was close to a 11-year peak, while silver was near a 14-year high. They were trading up 29.2% and 53.5% so far in 2025, compared to gold’s year-to-date gains of 28.4%.

(Ambar Warrick contributed reporting.)

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