Gold prices edged higher on Thursday as heightened U.S. trade tensions, spurred by impending auto tariffs, loomed over global markets. With the world’s leading economy poised to implement reciprocal tariffs on April 2, spot gold climbed 0.6% to $3,036.11 an ounce, rebounding from its peak of $3,057.21 recorded on March 20.
In a move that intensified the global trade dispute, U.S. President Donald Trump announced a 25% tariff on imported cars and light trucks, set to come into effect the following week. Investors expressed concern that these measures could stoke inflation, dampen economic growth, and exacerbate trade tensions further.
The U.S. president later also warned the European Union and Canada of impending “large scale” tariffs should they join forces in actions against the U.S. economy.
Reflecting these worries, Goldman Sachs adjusted its year-end 2025 gold price forecast upwards to $3,300 per ounce, from a previous estimate of $3,100. This revision was driven by unexpectedly strong ETF inflows and consistent demand from central banks.
