Trump's reinstatement of tariffs triggered a surge in safe-haven demand, supporting a sharp rise in gold prices.
2026-02-23 08:41:58
On Monday morning in Asia, XAU/USD continued its upward trend, approaching $5150. A resurgence in market risk aversion was the main factor driving the price increase.
Last Friday, the U.S. Supreme Court ruled that some of Trump's tariff measures were illegal. However, within hours, President Trump invoked Section 122 of the Trade Act of 1974 to announce an initial 10% tariff on global imports, which was subsequently raised to 15%.
He also confirmed that the national security tariffs under Article 232 and the tariff measures under Article 301 remain in effect. These policy fluctuations have exacerbated market uncertainty about the trade outlook, increasing gold's safe-haven appeal.
However, there are signs of easing geopolitical tensions. Oman's Foreign Minister stated that the next round of US-Iran talks will be held in Geneva on Thursday. While Trump had previously warned of a possible limited strike against Iran, Iran indicated that a draft agreement is expected to be finalized soon.
If negotiations progress, risk aversion may subside, thus limiting further gains in gold prices. The market will then focus on this week's US PPI data, which will provide clues about inflation trends and influence expectations for the Federal Reserve's interest rate decisions.
If inflationary pressures rise again, the US dollar may rebound, putting temporary downward pressure on gold prices.
From a daily chart perspective, gold prices have climbed back above $5050, maintaining an overall bullish trend. Short-term moving averages continue to rise, indicating that the upward trend remains intact.
The upside resistance levels to watch are the $5,150 and $5,200 areas. A break above these levels could lead to a test of the previous highs.
The 4-hour chart shows that the price is moving along a short-term upward channel, the MACD remains above the zero line with expanding momentum bars, and the RSI is above 60, indicating that the bulls still have the upper hand.
However, if the price falls below $5050, it may test the $5000 support level. Overall, the technical outlook is bullish, but news-driven factors are dominating price movements.
Editor's Note:
The current rise in gold prices is driven more by policy uncertainty than by inflation or interest rate factors alone. Fluctuations in trade policy and escalating geopolitical risks are supporting gold prices, but if there is substantial progress in US-Iran negotiations, market risk appetite may rebound.
Last Friday, the U.S. Supreme Court ruled that some of Trump's tariff measures were illegal. However, within hours, President Trump invoked Section 122 of the Trade Act of 1974 to announce an initial 10% tariff on global imports, which was subsequently raised to 15%.
He also confirmed that the national security tariffs under Article 232 and the tariff measures under Article 301 remain in effect. These policy fluctuations have exacerbated market uncertainty about the trade outlook, increasing gold's safe-haven appeal.
However, there are signs of easing geopolitical tensions. Oman's Foreign Minister stated that the next round of US-Iran talks will be held in Geneva on Thursday. While Trump had previously warned of a possible limited strike against Iran, Iran indicated that a draft agreement is expected to be finalized soon.
If negotiations progress, risk aversion may subside, thus limiting further gains in gold prices. The market will then focus on this week's US PPI data, which will provide clues about inflation trends and influence expectations for the Federal Reserve's interest rate decisions.
If inflationary pressures rise again, the US dollar may rebound, putting temporary downward pressure on gold prices.
From a daily chart perspective, gold prices have climbed back above $5050, maintaining an overall bullish trend. Short-term moving averages continue to rise, indicating that the upward trend remains intact.
The upside resistance levels to watch are the $5,150 and $5,200 areas. A break above these levels could lead to a test of the previous highs.
The 4-hour chart shows that the price is moving along a short-term upward channel, the MACD remains above the zero line with expanding momentum bars, and the RSI is above 60, indicating that the bulls still have the upper hand.
However, if the price falls below $5050, it may test the $5000 support level. Overall, the technical outlook is bullish, but news-driven factors are dominating price movements.
Editor's Note:
The current rise in gold prices is driven more by policy uncertainty than by inflation or interest rate factors alone. Fluctuations in trade policy and escalating geopolitical risks are supporting gold prices, but if there is substantial progress in US-Iran negotiations, market risk appetite may rebound.
- Risk Warning and Disclaimer
- The market involves risk, and trading may not be suitable for all investors. This article is for reference only and does not constitute personal investment advice, nor does it take into account certain users’ specific investment objectives, financial situation, or other needs. Any investment decisions made based on this information are at your own risk.
