Gold Soars as Tariff Wars Fuel Safe-Haven Demand

Gold prices have reached record highs due to escalating tariff conflicts between major economies, fueling demand for safe-haven assets.

Commerzbank analysts point out that trade tensions, particularly between the US and its major trading partners, create economic uncertainty, prompting investors to seek refuge in gold.

The bank notes that tariffs disrupt global supply chains, increase costs for businesses, and create uncertainty about economic growth, leading investors to reduce exposure to riskier assets like equities and corporate bonds.