Silver Rises Over 120% YTD 
Gold prices surged over 2% on Wednesday, reaching $3,061.92 an ounce for spot gold, as investors flocked to this traditional safe-haven asset amid escalating global trade tensions. The market reacted strongly to U.S. President Trump’s 104% tariffs on Chinese goods taking effect, which prompted China’s retaliatory 84% tariffs on U.S. goods (up from 34% previously announced). This trade war escalation has raised serious concerns about global recession risks.
The weaker U.S. dollar (down 0.7%) has made gold more attractive for overseas buyers, while expectations of Federal Reserve rate cuts have further supported gold’s rise. Nearly 60% of traders anticipate Fed rate cuts beginning as early as May, with UBS analyst Giovanni Staunovo predicting gold prices could reach $3,200/oz in the coming months. Gold, which yields no interest, typically performs well in low-interest environments. The precious metal has already gained more than $400 in 2025, hitting a record high of $3,167.57 on April 3, and gold-backed ETFs saw their largest quarterly inflow in three years during Q1 2025.
