Gold Prices See Record-Breaking Advance Amid Global Uncertainty

Gold prices worldwide experienced a substantial surge on Thursday, April 10, marking the largest single-day increase in 18 months. This dramatic rise was spurred by an announcement from U.S. President Donald Trump, who declared a 90-day suspension of tariffs for at least 75 countries.

The temporary pause in tariff enforcement has provided much-needed relief to global markets, causing a ripple effect in safe-haven investments, particularly gold.

Gold Prices See Record-Breaking Advance Amid Global Uncertainty

Spot gold prices climbed by over 1.6%, reaching levels close to $3,150 per ounce. According to CNBC, this increase brought the metal within striking distance of its previous record highs. Earlier in the month, gold prices had dipped below the $3,000 mark due to growing concerns over trade tensions.

Industry experts have highlighted the critical role of the U.S. Federal Reserve in influencing gold’s price trajectory. Dominic Schnider, head of commodities at UBS Global Wealth Management, remarked, “We remain quite positive for gold. The next step is going to be, at some point, the Fed coming in — and that gives the next leg up for gold.”

Gold prices surged on April 10 as trade war concerns after US President Donald Trump's reciprocal tariffs made investors shift to safe-haven assets like gold.

Here's how much the yellow metal costs in your city todayhttps://t.co/u7Tvy8s5Ra#GoldPrice pic.twitter.com/DBMrx61MbM

— Moneycontrol (@moneycontrolcom) April 10, 2025

The weakening of the U.S. dollar has further contributed to the gold price rally. CNBC reported that the dollar’s struggles continue to support gold’s upward momentum, offering some relief to investors navigating volatile markets.

Tariff Pause Sparks Optimism, But Challenges Persist

Although the 90-day suspension of tariffs has brought temporary optimism, significant challenges remain on the global trade landscape. The U.S. has simultaneously raised tariffs on Chinese imports to a staggering 125%, escalating tensions between the world’s two largest economies.

Rahul Singh of Tata Asset Management noted, “As the market moves from global trends to company-specific opportunities, disciplined investing in large-cap and multi-asset funds, especially those with gold exposure, can help reduce portfolio risk.”

Meanwhile, gold-backed exchange-traded funds (ETFs) experienced the largest quarterly inflows in three years during the January-March period of 2025, as highlighted by the World Gold Council.

Investment Opportunities Amidst Market Volatility

As inflation data from the U.S. is expected later this week, investors remain vigilant. Upcoming Consumer Price Index (CPI) and Producer Price Index (PPI) reports could further impact market sentiment and the trajectory of gold prices. Analysts recommend that investors carefully monitor global economic indicators and central bank policies to make informed decisions.