Investors Flee Safe-Haven Assets Amid Trade War Concerns

The prices of precious metals saw a significant drop on Friday as investors began to shy away from safe-haven investments. This shift in sentiment comes in the wake of US President Donald Trump's announcement of comprehensive trade tariffs, which has sparked fears of an economic slowdown.

Details of the Tariff Announcement

On April 2, President Trump unveiled a series of aggressive tariff measures, including a 10% tax on all imports and targeted duties against specific countries. Notably, China faces a 54% total tariff, with other significant rates applied to Japan (24%), the European Union (20%), India (26%), Taiwan (32%), and Vietnam (46%).

Market Reaction

The immediate market reaction was stark: Gold fell by 1.03% to $3,082.56 per ounce, while Silver dropped 1.68% to $31.32 per ounce. Palladium and Platinum also experienced declines, shedding 1.67% and 1.01% respectively.