Precious Metals Preview: Gold marks stunning surge above $3100 per ounce

COMEX Gold futures marked a stunning surge in last session and added to these gains today as well. The metal currently trades at $3124 per ounce, up 1.42% on the day. Gold soared around 3% in last session amid a massive bounce for the US equities after Donald Trump announced a 90-day pause on new reciprocal tariffs on most countries to allow for negotiations. However, Trump noted that pause will not apply to China. The US President raised the tariff on the country to 125 percent. The higher tariffs on China come after the country retaliated to a previous increase by announcing it will raise its tariffs on U.S. goods to 84 percent from 34 percent notified earlier. DOW jumped around 8% following this and bounced back above 40000 mark. Despite gains in equities, overall situation on the trade front remains unstable and safe haven buying is boosting Gold as a result. Gold soared amid these moves as a rally from three-week lows boosted the counter. A break above $3100 per ounce extended further today as the commodity trades at $3127 per ounce, up 1.56% on the day. MCX Gold futures closed flat at Rs 89724 per 10 grams after hitting a high of Rs 90850 per 10 grams. A strong opening is likely for the metal today in the evening session.

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