Trade War Fears Lead to Precious Metals Slump

Investors are steering clear of safe-haven assets as precious metals experience a significant downturn. This shift comes in the wake of US President Donald Trump's announcement of sweeping trade tariffs, sparking concerns over a potential economic slowdown.

Details of the Tariff Announcement

On April 2, President Trump unveiled a series of tariff measures, including a 10% levy on all imports. Targeted duties were also imposed on specific countries, with China facing a 54% tariff, alongside significant rates for Japan, the European Union, India, Taiwan, and Vietnam.

Market Reaction

The precious metals market reacted swiftly to the news. Gold prices fell by 1.03% to $3,082.56 per ounce, while silver dropped 1.68% to $31.32 per ounce. Palladium and platinum also saw declines, shedding 1.67% and 1.01% respectively.