Trump's tariff war sends gold price soaring to all-time high
JAKARTA - Global gold prices have reached a record high amidst global economic uncertainty triggered by the US-China trade war and negative sentiment toward the US dollar.
The rise in gold prices is a strong signal that investors are seeking safe assets amidst market turbulence. According to Refinitiv data, on Wednesday (3/4/2025), global gold prices closed up by 0.74% at US$3,133 per troy ounce, surpassing the previous record of US$3,123.05.
As of 06:44 WIB today, gold prices rose again by 0.83% to US$3,159 per troy ounce, marking the highest level in history.
The surge in gold prices was driven by new tariff policies announced by US President Donald Trump. Trump emphasized that this move is a declaration of economic independence for America from trade practices deemed harmful. In his speech at the White House, Trump claimed that foreign countries have imposed large tariffs, manipulated currencies, and stolen US intellectual property.
"Foreign nations will finally be required to pay for the privilege of accessing our market—the largest in the world," Trump stated firmly.
He added that revenue from the new tariffs would bring "trillions of dollars" to reduce taxes and address the US national debt.
Chris Zaccarelli, Chief Investment Officer at Northlight Asset Management, commented that this announcement shattered market optimism, which had previously expected lighter tariffs. "The announced tariffs are much higher than initial expectations, and the market will remain volatile due to rapid policy changes," he said.
In addition to trade war factors, the gold price surge was also supported by the weakening US dollar and declining US Treasury yields. The dollar index fell to 103.807, its lowest since March 19, while the US Treasury 10-year yield dropped to 4.094%, the lowest level since October 16, 2024.
In Indonesia, gold prices from PT Aneka Tambang Tbk (ANTM) hit a new record on Thursday (3/4). ANTM gold prices rose by IDR 17,000 to IDR 1,836,000 per gram, from IDR 1,819,000 per gram the previous day. This surpassed the previous record high on Tuesday (1/4) at IDR 1,826,000 per gram. ANTM's buyback price also increased to IDR 1,688,000 per gram.
Globally, US gold prices rose by 0.4% to US$3,145.93 per ounce, while US gold futures strengthened by 0.1% to US$3,170.70 per ounce.
Based on data from the World Gold Council, global gold prices reached a record high of US$3,152 per ounce, driven by massive central bank purchases and concerns over the global economy. (EF/LM)