Gold trades at $5,202.32 as of writing, up 2.04% in the last 24 hours, after President Donald Trump escalated trade tensions by raising global tariffs to 15% over the weekend. Prices touched a session high of $5,202.52 and dipped to $5,098.51 earlier in the day. The move narrows the gap to its all-time high of $5,591.56, leaving the metal just under 7% below peak levels. Are we reclaiming this soon too? Most Likely.
Investors rushed into safe-haven assets as uncertainty rippled through global markets. The US dollar weakened, reinforcing gold’s upward momentum. Why does gold respond this way?
Traders often turn to bullion when policy shocks cloud the outlook for equities, currencies, and growth.
Supreme Court Ruling Sparks Trade Turmoil
The rally followed a landmark Supreme Court decision that struck down a significant portion of Trump’s tariff program imposed under the International Emergency Economic Powers Act. The ruling invalidated sweeping “reciprocal” tariffs that targeted dozens of trading partners.
In response, Trump signed an executive order invoking Section 122 of the Trade Act of 1974. He first imposed a 10% global tariff, then raised it to 15% within 24 hours. That authority allows tariffs for up to 150 days before Congress must approve an extension.
Source: The White House via X
US Customs and Border Protection confirmed it will halt collections tied to the IEEPA orders starting Tuesday at 12:01 a.m. EST. Officials will deactivate associated tariff codes, adding another layer of complexity to trade enforcement. What happens to the estimated $130 billion already collected under IEEPA? Market participants still await clarity.
Experts Warn of Market Disruption
Market analysts described the situation as highly uncertain. Richard Hunter, head of markets at Interactive Investor, called the developments an “unholy mess,” noting that the ruling leaves open questions about refunds and future enforcement.
Russ Mould, investment director at AJ Bell, said the shift creates another cliff edge for global governments. Trade agreements negotiated under prior tariff assumptions now face review. Companies must reassess supply chains, pricing models, and inflation exposure.
The decision carries broad implications for consumers and businesses. Tariffs affect import costs, corporate margins, and retail prices. Inflation pressures remain a central concern as policymakers attempt to balance growth and price stability.
Technicals Signal Expansion Phase
On the technical side, gold has transitioned from consolidation to expansion on the 15-minute timeframe. A break above $5,180 confirmed a shift from the range to directional strength. The current structure suggests potential for higher highs if momentum persists.
Immediate resistance stands at $5,220, followed by $5,250. A sustained trading above $5,180 maintains the short-term bullish outlook. However, a move below $5,150 could signal renewed consolidation.
Source: TradingView via X
Longer term, some forecasts project significant upside. CoinCodex estimates gold could reach $10,262 by the end of 2026. That projection reflects expectations of continued macroeconomic support and sustained demand for defensive assets.
As always, gold benefits from uncertainty. Trade policy shifts, legal battles, and inflation concerns continue to shape sentiment. Will volatility persist long enough to push bullion toward new records? Tariff developments, dollar movement, and the intensifying war on Iran are top factors likely to push gold to new highs soon.
