- As Trump’s automatic tariff deadline increases safely, gold rises to the highest level of all time.
- Despite the increase in the core PCE, the Fed sees two sections in Daly 2025; The market is now 73.5 BPS alleviating pricing.
- DXY weakens, the US gives slide, and global tensions are installed as Canada and EU preparation plans.
The Golden Price convened sharply on Friday, and with an increase in the preferred inflation indicator of the Federal Reserve (FED), it broke a new record of $ 3,086 in the midst of the uncertainty on the US trade policy. After that, the merchants seem to be sure that the FED will reduce the rates twice in 2025. XAU/USD is traded at 3079 with an increase of 0.79%.
US President Donald Trump, who signed an executive order that applied 25% tariff to all cars imported by US President Donald Trump to the United States, is pessimistic as traders support the “Liberation Day ği for April 2. This first triggered worldwide reactions in Canada and the European Union (EU).
Meanwhile, Greenback remains battered and will finish the week with 0.11%losses according to the US Dollar Index (DXY), which supports the prices of precious metals. The US yields fall as investors looking for security piled to Japanese YEN and Japanese Yen (JPY).
The US economic calendar revealed that the price index of basic personal consumption expenditures (PCE) in February was mostly compatible with estimates, and in March, the University of Michigan Consumer sensation worsened.
In addition, San Francisco Fed Mary Daly added that he foresees two deductions in 2025 and focused 100% on inflation due to the fact that advanced progress is flat.
Meanwhile, the money markets priced in 2025 at 73.5 basis points of the FED and jumped ten basis points from the previous day. Main market terminal interest rate probability.
Source: Prime Market Terminal
Next week, the US Economic Document on April 2 Trump tariff announcement, ISM manufacturing PMI for March, will shake business opening.
Daily Digest Market Carriers: Gold prices to challenge $ 3,100 in the short term
- The US 10-year T-Note yield decreases, ten basis points 4.259%. The US reduces the US Real to 1.887%to seven and a half BPS, according to the yield of 10 -year Treasury inflation -protected securities (tips).
- According to the US Economic Analysis Bureau, Personal Consumption Expenditures (PCE) price index remained constant in February 2.5% in years.
- The core PCE, which excludes food and energy, rose slightly from 2.7% of the previous month. While maintaining the status quo, these readings show that inflation remains above 2% target of the FED.
- As the US households grow worse, the consumer emotion index of Michigan University fell from 57.9 to 57.0.
- While one -year inflation expectations rose to 5%, five -year expectations rose from 3.9%to 4.1%and reflect their increasing consumer concerns on future price prints.
XAU/USD Technical View: Golden Price 3,050 $ Eyes, Eyes $ 3,100
Gold’s rally, Yellow Metal’s $ 3,086 record level is preparing to reach $ 3.100 $ continues to clean the way to challenge. Momentum shows that it seems ready to be exposed to $ 3,150 by passing the earnings of the bullion prices, the psychological dollars and $ 3,200 if it is cleaned.
Due to the aggression of the upward trend, the relative power index (RSI) exceeded over 70. However, it will be 80 from the time of literacy. On the contrary, if the XAU/USD falls to the highest level of $ 3,057 of March, this can be withdrawn to $ 3,000.
Tariffs FAQ
Tariffs are certain goods imports or customs duties received in a product category. Tariffs are designed to help local manufacturers and manufacturers to be more competitive in the market by providing a price advantage compared to similar goods that can be imported. Tariffs are widely used as means of protectionism together with trade barriers and import quotas.
Although tariffs and taxes create government income to finance public goods and services, they have several distinctions. Tariffs are paid at the entrance harbor and taxes are paid during purchasing. While taxes apply to individual taxpayers and enterprises, tariffs are paid by importers.
There are two schools of thought among economists about the use of tariffs. While some claim that tariffs are necessary to protect domestic industries and address trade imbalances, others see them as a harmful tool that can increase the higher prices in the long run and encourage the schedules of the Simsekkara for taste.
During the presidential elections in November 2024, Donald Trump clearly stated that he plans to use tariffs to support the US economy and American manufacturers. In 2024, Mexico, China and Canada formed 42% of total US imports. According to the US Census Bureau, Mexico came to the fore as the best exporter with $ 466.6 billion. Therefore, Trump wants to focus on these three countries while applying a tariff. It also plans to use income from tariffs to reduce personal income taxes.
