Gold prices retreated on Friday, testing the critical $3,000 per ounce support level as the broader market sentiment turned risk-averse. The precious metal dipped to $3,005.9, down 1.24% from the previous close, as investors grappled with renewed concerns over President Trump’s trade policies and their potential impact on global economic growth. This pullback comes just a week after gold reached an unprecedented high of $3,057.21 per ounce, driven by safe-haven demand amid geopolitical and economic uncertainties.
The decline in gold prices aligns with the overall market downturn, as major U.S. stock indices also experienced losses. The Dow Jones Industrial Average, S&P 500, and Nasdaq Composite all saw declines, with futures indicating further drops at the open. Investors are reevaluating their positions in light of mixed signals from the Federal Reserve and the looming implementation of new tariffs set to take effect on April 2, which President Trump has dubbed “Liberation Day”. Despite the day’s losses, gold remains on track for its third consecutive weekly gain, buoyed by ongoing economic uncertainties and expectations of potential interest rate cuts later in the year.
