KEY TAKEAWAYS:
- Gold hit $3,357/oz, then pulled back slightly on profit-taking.
- Trade tensions (U.S.-China, Boeing ban, tariff threats) are boosting safe-haven demand.
- Dollar weakness is making gold more attractive globally.
- Analysts remain bullish, expecting more gains after a possible short-term dip.
Gold prices dipped slightly on Thursday as investors took profits following bullion’s surge to a fresh all-time high earlier in the session. Ongoing U.S.-China trade tensions and uncertainty surrounding tariffs had driven demand for the metal as a safe-haven asset.
Spot gold was down 0.1% at $3,339.37 an ounce as of 03:12 GMT, after hitting a record high of $3,357.40 earlier in the day. Despite the modest pullback, gold is still up more than 3% for the week. Meanwhile, U.S. gold futures rose 0.2% to $3,351.50.
“Everything is going gold’s way, propelling prices to fresh record highs,” said Nikos Tzabouras, Senior Market Analyst at Tradu.com. “While brief corrections are natural, the broader trend remains bullish as global trade turmoil continues.”
The surge in gold comes as U.S. President Donald Trump announced a new investigation into possible tariffs on critical mineral imports, adding to existing reviews into pharmaceutical and semiconductor imports. In response, China escalated its position by ordering airlines to halt further purchases of Boeing aircraft.
These developments have amplified concerns over deteriorating relations between China and the West, pressuring the U.S. dollar, which is hovering near a three-year low. A weaker dollar typically makes gold more attractive to non-U.S. investors.
“Sino-Western tensions show no signs of easing, and the dollar’s role as a safe-haven is increasingly in question—further boosting gold’s appeal,” added Tzabouras.
Analysts say the recent market volatility, particularly in equities and bonds, is pushing investors to increase their gold allocations. Trevor Yates of Global X noted that gold continues to serve as a critical hedge against political instability, economic uncertainty, and inflation.
Gold has now risen more than 27% year-to-date, solidifying its role as a top-performing asset in 2025.
Still, some analysts foresee a temporary breather. “We remain bullish on gold, but a short-term pullback toward $3,050 per ounce wouldn’t be surprising given the sharp rally,” noted ANZ analysts in a client note.
Other precious metals were also in the red:
- Silver slipped 1% to $32.43 an ounce
- Platinum edged down 0.2% to $965.46
- Palladium dropped 1.4% to $958.26