Gold hits fresh record, Powell faces Senate grilling [Video]
|The US dollar extended gains and gold hit a fresh ATH fuelled by fresh tariff threats from Donald Trump. Worries in Chinese markets and rising geopolitical tensions support further gains despite all-time high levels. Elsewhere, the early moodiness due to Trump’s new tariff threats quickly waned. The euro and Loonie recovered losses against the greenback, while the stock markets in Europe gave a mere reaction to Trump news. The energy and mining heavy FTSE 100 led gains in Europe, goldminer Fresnillo jumped almost 5% to a year-high, while BP rallied more than 7% on news that the activist investor Elliott Investment Management has acquired a substantial stake in the company to increase focus on traditional oil and gas operations and rely less on investments in renewable energy.
Across the Channel, the Stoxx 600 extended gains to a fresh ATH as well, while in the US, the S&P500 gained. US Steel Corp and Alcoa were happy about the tariff news, while the tech stocks led the rally. Nvidia extended gains by more than 2.50% as the French PM promised to invest more than 100bn euro in AI at a tech summit in France.
In the FX, the US dollar remains in demand as the Federal Reserve (Fed) Chair Jerome Powell begins his two-day testimony in front of US politicians today and is expected to adopt a cautious approach despite mounting pressure to lower rates from the Trump government.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.