Gold Tops $3,500, Setting New Record
American investors and international exporters are taking advantage of rumors about these tariffs to ship gold to the United States.
Quick overview
- December gold futures peaked at $3,534.10 before settling around $3,491.30, marking a 1.1% gain.
- Gold prices surged to new all-time highs above $3,500 following the U.S. government's imposition of 39% tariffs on one-kilo and 100-ounce gold bars.
- The tariffs, which affect a significant portion of Switzerland's gold exports to the U.S., have led to increased demand as investors rush to import gold before the duties take effect.
- Some gold refineries have halted deliveries to the U.S. due to uncertainty regarding the application of these tariffs.
December gold futures reached $3,534.10, but after hitting the highest level in history, gains narrowed to 1.1%, trading around $3,491.30.
Gold hit new all-time highs above $3,500 this Friday, following the imposition of 39% tariffs on one-kilo and 100-ounce bars by the U.S. government.
The milestone came after the Financial Times reported that the United States had imposed tariffs on imports of one-kilo and 100-ounce gold bars, which account for most of Switzerland’s gold bullion exports to the U.S., and which are now subject to U.S. import tariffs of 39%. While the outlet cites a letter from Customs and Border Protection, the U.S. administration has yet to comment on the matter.
Copper Price Action and Tariffs
This situation has already occurred this year with other assets, such as copper. American investors and international exporters are taking advantage of rumors about these tariffs to ship gold to the United States before the potential implementation of the duties, which is driving up demand in the U.S. and, consequently, its price.
However, some gold refineries, including a major Swiss entity, have paused deliveries of gold bullion to the United States due to uncertainty over whether country-specific import tariffs will be applied to their metal, two sources familiar with the matter told Reuters.
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