Quick overview

---

Silver prices rose sharply as traders considered Middle East tension and the uncertainty surrounding US import tariffs.

 

Gold recovered some of the losses from the previous session, rising as much as 1.4 percent.

Tensions over an American military buildup ahead of this week’s next round of nuclear talks with Iran, along with a lack of clarity regarding US trade policy, have helped the metal in recent sessions.

Silver surpassed $90 per ounce. Following a historic two-day rout at the beginning of the month, gold has recovered more than half of its losses and is now trading above $5,000 an ounce. Yuxuan Tang, head of macro strategy for Asia at JP Morgan Private Bank, stated, “It appears that a breakout to the upside is imminent.”

She stated that several factors “may prove sufficient to catalyze a more sustained shift,” including Iran risk and tariff uncertainty.

President Donald Trump’s broad-based 10 percent import levy went into effect in the US on Tuesday following a Supreme Court decision that invalidated his previous reciprocal tariff system. He has not formally issued this directive, despite his subsequent threat to increase the levy to 15%. The Trump administration is also preparing a series of national security investigations into the effects of specific imports on products like industrial chemicals and batteries, which could pave the way for further tariffs.

Some importers are requesting tariff reimbursements from the government in the interim. David Wilson, director of commodities strategy at BNP Paribas SA, stated, “It’s going to have dramatic implications for the US budget deficit, the US dollar, and Treasuries.”

The so-called debasement trade, in which investors gravitate toward hard assets like bullion out of fear of inflation or dollar depreciation, has been influenced by worries about growing sovereign debt.