FX.co ★ Gold Rises on Lingering Trade Uncertainty

Gold prices edged closer to $3,340 per ounce on Wednesday, buoyed by uncertainties surrounding the US-China trade agreement's conclusion and the anticipation of significant US inflation data. Representatives from both nations announced an established framework aimed at reinstating their trade truce and lifting China's export restrictions on rare earth elements. However, the implementation awaits approval from their respective leaders. Compounding the uncertainty, a federal appeals court has permitted the continuation of the US's broad tariff measures while it reviews a lower court's decision that questioned the president's authority in initiating them. Additionally, the World Bank has revised its 2025 global growth forecast downward by 0.4 percentage points to 2.3%, attributing this adjustment to heightened tariffs and escalating risks that pose significant challenges to many economies. Investors are now turning their attention to the imminent US inflation report to gauge the economic repercussions of the recent tariffs and obtain insights into the Federal Reserve's policy direction.