Gold prices rose more than 1% on Monday to a three-week high of $5,152.11 per ounce, driven by a landmark U.S. Supreme Court ruling that blocked President Donald Trump’s sweeping tariffs as exceeding his authority.
The 6-3 decision, written by Chief Justice John Roberts, required congressional approval for such measures, weakening the dollar 0.8% and heightening global trade uncertainty, which boosted safe-haven demand for gold.
Spot gold reached its highest level since January 30, rebounding toward its record of $5,594.82 set on January 29. U.S. April gold futures climbed 1.8% to $5,172.80. China’s markets were closed for the Lunar New Year, with trading resuming on Tuesday.
Analyst Ross Norman called the rally a “perfect storm” fueled by tariff confusion, weak economic growth, and geopolitical tensions. Trump reacted defiantly, imposing a maximum 15% blanket import levy while defending existing trade deals with nearly 20 countries.
Recent U.S. data showed higher-than-expected December core inflation (0.4% month-on-month vs. 0.2% forecast), with January trends pointing to further acceleration—potentially delaying Fed rate cuts and pressuring non-yielding gold. Investors await Fed speakers this week, including Powell’s Wednesday testimony, plus U.S.-Iran developments.
Silver jumped 2.3% to $86.55/oz (two-week high), platinum rose 0.4% to $2,164.62, and palladium gained 1.2% to $1,769.43. Analysts expect continued volatility as trade risks and Fed policy uncertainty persist, reinforcing gold’s role as a chaos hedge.
WHAT YOU SHOULD KNOW
Gold surged over 1% to a three-week high of $5,152/oz today, driven primarily by the U.S. Supreme Court ruling that blocked President Trump’s sweeping tariffs as exceeding his authority. The decision weakened the dollar and revived trade-policy uncertainty, boosting safe-haven demand for gold and silver.
