Trade war boosts safe-haven demand, spot gold breaks through $3370 per ounce, US dollar index falls below 99.

Due to the US-led trade war supporting demand for safe-haven assets, gold prices have risen to record levels, with data to be released in the coming days potentially highlighting early signs of damage to the global economy. With the US dollar falling, spot gold broke through the $3370 per ounce level on Monday for the first time. Market expectations are for the International Monetary Fund to lower economic growth forecasts on Tuesday, while the Purchasing Managers' Index to be released the next day will provide a general overview of economic activity since US President Donald Trump implemented tariffs. As trade conflicts disrupt global markets and dampen interest in risk assets while boosting demand for safe-haven assets, gold prices have hit new highs this year. Over the past 12 weeks, holdings of gold-backed exchange-traded funds (ETFs) have continued to expand, marking the longest continuous period since 2022. Major central banks have also been increasing their gold holdings, supporting strong global demand. Additionally, the US dollar index fell below 99 on Monday. Silver prices rose, platinum prices remained stable, and palladium prices declined.