Gold surged to a new all-time high, reaching above $3,220 per ounce on Friday, driven by heightened safe-haven demand and a weakening US dollar.
For the week, XAUUSD recorded its strongest performance since November, highlighting growing risk aversion in global markets.
The rally followed rising geopolitical tensions after the US announced a significant hike in tariffs on Chinese imports – raising them to 145%, including a new 125% levy.
Additionally, softer-than-expected US consumer price data for March spurred expectations that the Fed will resume rate cuts as early as June, with a potential 100 basis points of easing by year-end.
However, inflationary pressures remain a concern due to persistent tariff escalations.
The combination of monetary policy uncertainty and geopolitical risk has made gold increasingly attractive to investors.
According to Bloomberg, the potential (72.3% probability) XAUUSD 7-day trading range lies between 3083.45 – 3314.91.
