Overview

• President Trump’s threat of 30% tariffs on European Union and Mexican imports effective August 1 has reignited trade-war concerns and driven safe-haven demand for bullion.
• Spot gold climbed to about $3,367.89 per ounce, its highest since June 23, while silver surged to $38.89 per ounce, marking its strongest level since September 2011.
• Persistent weakness in the U.S. dollar index and expectations of Federal Reserve rate cuts have bolstered flows into non-yielding precious metals.
• Traders are positioning ahead of key U.S. Consumer Price Index and retail sales data due mid-July, which will influence the Fed’s policy outlook and bullion direction.
• Analysts forecast gold could near $3,500 per ounce and silver test $40 per ounce if trade tensions persist and U.S. inflation remains elevated.