Gold prices hit a new high! Trump's tariff policy has taken effect

The spot price of gold hit a new high in Asian trading today (28), rising by more than 0.7% to US$3,079 per ounce, breaking the historical high just set on Thursday. Financial markets are worried that Trump's auto tariffs will expand the trade war and continue to flock to the gold market for safe havens.

Judging from the gains so far this week, gold is expected to close higher for the fourth consecutive week, with an estimated increase of about 1.8%.

Gold prices have surged about 16% this year, setting new record highs at least 15 times. The highly uncertain environment and geopolitical risks brought about by Trump's tariffs have stimulated investors' demand for safe-haven assets. The Federal Reserve (Fed) will cut interest rates, and central banks are also buying gold strongly. Multiple factors have led to the surge in gold prices so far this year.

Several major banks have raised their price targets for gold, with Goldman Sachs predicting this week that the metal could reach $3,300 by the end of the year.

Traders are now focusing on today's release of the U.S. personal consumption expenditures (PCE) price index, the Federal Reserve's preferred inflation gauge, which will influence market expectations for the extent of the Fed's interest rate cuts this year. Lower interest rates tend to favor non-interest bearing gold.