Gold hits record high as US tariff escalation spurs safe-haven rush

Gold prices surged to a new all-time high of $3,167 per ounce on Thursday as investors rushed into safe-haven assets following US President Trump's unexpectedly aggressive tariff announcement. The new duties intensified already strained global trade relations, roiling financial markets worldwide.

Yesterday, President Trump announced sweeping 10% baseline tariffs on all US imports, with additional higher duties targeting dozens of countries, including America's key trading partners.

Capital.com financial analyst Kyle Rodda notes that the tariffs have raised the prospect of future rate cuts in the US, further enhancing gold's attractiveness as a safe-haven.

Gold has surged over 19% year-to-date as geopolitical tensions mount, rates decline, and central banks ramp up gold purchases.

Despite stronger-than-expected US private sector hiring in March, economists remain cautious amid emerging signs of labor market cooling. The Federal Reserve's primary focus now shifts to Friday's nonfarm payrolls report, Reuters reports.