US Court Blocks Trump Tariffs, Gold Prices Hold Steady

A US trade court has blocked President Trump’s global tariff agenda, ruling many tariffs illegal. This news initially pushed gold prices lower as the dollar strengthened, though gold later steadied. The Trump administration is appealing the decision, which could ultimately reach the Supreme Court. The ruling may reduce gold’s appeal as a safe-haven investment, though analysts note the precious metal’s long-term upward trend remains intact. Gold is currently trading around $3,320 per ounce, down slightly on the day.

Trade Deficit Delivers Record Blow to US Economy as GDP Falls 0.2%

The US economy contracted by 0.2% in the first quarter of 2025, slightly better than the initially reported 0.3% decline. Consumer spending, which drives most economic growth, increased only 1.2% – the weakest pace in nearly two years. The main drag on the economy came from trade, with net exports subtracting a record 5 percentage points from GDP as businesses rushed to import goods ahead of potential tariffs. Corporate profits fell 2.9%, the largest drop since 2020. While some tariffs have been delayed or blocked, economists expect growth to rebound in the second quarter as import levels normalize.