Gold Spikes Amid Rising Trade Tensions Between U.S., China

(RTTNews) - After a relatively modest rebound in the previous session, the price of gold showed a more substantial move to the upside during trading on Wednesday.

Gold for April delivery surged $88.10 or 3.0 percent to $3,056.50 an ounce, marking the largest one-day percentage gain since October 13, 2023.

The price of gold added to the $17.10 an ounce or 0.6 percent increase seen on Tuesday, continuing to regain ground after plunging by $188.60 or 6.0 percent over the three preceding sessions.

Gold was seemingly once again seen as a safe haven amid ongoing trade war concerns after President Donald Trump's new tariffs, including a 104 percent total levy on Chinese imports, took effect.

China retaliated by announcing it will increase its tariffs on U.S. goods to 84 percent from 34 percent just after midnight on Thursday.

Trump later struck back, announcing in a post on Truth Social that he is raising the tariff on China to 125 percent due to the "lack of respect" they have shown to the world's markets.

However, in the same social media post, Trump announced a 90-day pause on the new "reciprocal tariffs" on other countries to allow for negotiations.

White House press secretary Karoline Leavitt told reporters that tariffs would be brought down to a "universal 10 percent" level during the 90-day pause.