Concerns over tariffs boosted safe-haven demand, causing gold prices to rise significantly on Monday.

GateUser-6433627c · 2025-06-02T07:32:13+00:00

Gold prices rose 2% on Monday under the influence of the escalation of the Russia-Ukraine conflict and Trump threatening to impose additional tariffs. Trump plans to raise tariffs on steel and aluminum to 50%, prompting warnings from the EU. Trade and geopolitical concerns have driven investors to turn to safe-haven gold, with gold prices rising and supported by the fall of the dollar.

GateUser-6433627c

2025-06-02 07:32:13

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Gold prices surged 2% on Monday on 2 June, prompting investors to turn to safe-haven gold amid the escalation of Russia’s invasion of Ukraine and US President Donald Trump’s renewed threat of double tariffs on steel and aluminium imports. Trump said on Friday local time that he planned to raise tariffs on imported steel and aluminum from 25% to 50%, prompting the European Commission to warn that Europe was ready to retaliate. Tim Waterer, chief market analyst at KCM trade, said: “With trade and geopolitical concerns resurfacing again, it’s no surprise that gold prices started the week higher.” Ahead of the second round of peace talks in Istanbul, hostilities between Ukraine and Russia escalated, with a wave of attacks on both sides, including one of Ukraine’s most daring attacks in the conflict, and a Russian drone attack at night. “Risk assets opened the week lower, and a weaker dollar also supported gold prices,” Waterer said. ( gold ten )

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