Gold prices rose on Wednesday as investors piled into the safe-haven metal during Asian trade, weighing uncertainty over U.S. tariffs after the U.S. Supreme Court struck down a series of measures by President Donald Trump.
As of 0159 GMT, spot gold was up 0.5% at $5,174.76 an ounce. Bullion ended pre-market trading down more than 1% as investors booked profits after gold hit a three-week high earlier in the day.
US gold futures for April delivery rose 0.3% to $5,192.20.
“The return of the Chinese market and increased policy uncertainty in the U.S. maintains some of the attractiveness of silver as well as gold,” said Kyle Rodda, senior market analyst at Capital.com.
The United States tentatively began collecting a new 10% global import tariff on Tuesday, but the administration is working to raise it to 15%, a White House official said, adding to the confusion over President Trump’s tariff policy following last week’s Supreme Court defeat.
Meanwhile, two U.S. Federal Reserve officials indicated they had no appetite to change the central bank’s interest rate policy settings in the short term.
The market currently expects three 25 basis point (bp) rate cuts this year, according to CME’s FedWatch tool.
“There is still plenty of room for gold to move higher here, especially if the factors that drive gold prices higher, such as US financial trade and foreign policy, continue,” Rodda added.
Reuters technical analyst Wang Tao said gold could stabilize near support at $5,140 an ounce and retest resistance at $5,244, adding that the immediate resistance is $5,205, a break above which could lead to a rally to the $5,221-$5,244 range.
In the geopolitical field, Iran and the United States will hold a third round of nuclear talks in Geneva on Thursday, Omani Foreign Minister Badr al-Busaidi said.
Spot silver rose 1% to $88.23 an ounce after hitting its highest in more than two weeks on Monday.
Spot platinum rose 2.1% to $2,212.72 an ounce and palladium rose 1.4% to $1,793.68.
(Reporting by Ishaan Arora; Editing by Sherry Jacob-Phillips)
