Gold Hits $3,017: 3 Key Tariff Moves Shaking Up Markets in 2025

Gold prices edged higher on Tuesday, trading at approximately $3,017 per ounce, amid renewed uncertainty surrounding the upcoming implementation of U.S. tariffs announced by former President Donald Trump.

Investors have turned to gold as a traditional safe-haven asset, reflecting market anxieties about an impending economic slowdown, escalating trade tensions, and inflationary pressures.

Recent statements by Trump indicating impending auto tariffs—though hinting at possible exemptions—have increased volatility. Market analysts interpret his mixed messaging as potentially easing some pressure, yet concerns persist. Yeap Jun Rong, a market strategist at IG, remarked, “Gold continues to find some support as a hedge against potential surprises.” As tariffs loom, gold has surged nearly 15% in 2025 alone, underscoring heightened investor caution.

Fed’s Policy Shift Fuels Gold’s Rally

In addition to tariff uncertainties, the Federal Reserve’s changing monetary policy stance is significantly contributing to gold’s bullish outlook. Atlanta Fed President Raphael Bostic recently projected a slower rise in inflation, anticipating a limited interest rate reduction of only 25 basis points by year’s end. Gold prices often benefit from lower interest rates, which reduce the opportunity cost of holding non-yielding assets.

The Personal Consumption Expenditures (PCE) index, the Fed’s primary inflation gauge due for release on Friday, will be closely watched. Lower-than-expected inflation data could strengthen market expectations of further rate cuts, potentially propelling gold beyond its current price levels.

Investment Flows Into Gold Mining Funds Soar

Investor enthusiasm for gold extends beyond bullion itself, with significant capital flowing into funds focused on gold miners. In March, these funds are set to witness their highest monthly inflows in more than a year. The recent record-high gold prices substantially improve profitability for mining companies, enhancing cash flows and making gold-mining equities attractive investment opportunities.

Gold currently maintains technical strength within an ascending channel on the 4-hour chart. Immediate support at the 50-period EMA, currently near $3,005, continues to sustain bullish sentiment. Traders foresee near-term resistance around $3,038, with the next substantial barrier at approximately $3,057.

Key Levels to Watch:

• Immediate Support: $3,005 (50-period EMA)

• Resistance Levels: $3,038, followed by $3,057

• Bearish Breakdown Levels: $2,982 and $2,965

Investors are advised to closely monitor these technical indicators, as gold’s price trajectory will likely hinge on near-term movements around these pivotal support and resistance zones.