Gold prices extend record rally as Trump escalates US Fed fears
Gold prices have repeatedly hit new highs this year, triggered by economic uncertainties surrounding tariff wars, with spot gold prices rising as high as US$3,484.32 (HK$27,178) per ounce on Tuesday.
US President Donald Trump's attacks on the US central bank boss intensified the market's safe-haven rush.
In a social media post, Trump called Federal Reserve chair Jerome Powell "a major loser" for not lowering interest rates.
He urged Powell to cut interest rates "preemptively" to help boost the US economy, saying the chair had been consistently too slow to respond to recent economic developments.
"There can be a SLOWING of the economy unless Mr Too Late, a major loser, lowers interest rates, NOW," he wrote.
In Hong Kong, gold miner stocks rose. Chifeng Jilong Gold Mining (6693) surged 13.5 percent at one point on Tuesday morning, Shandong Gold Mining (1787) rose more than 10 percent, and Zhaojin Mining Industry (1818) climbed 7.56 percent.
Spartan Capital Securities analyst Peter Cardillo said any interference with the Fed's independence is something the market does not relish.
He expects the gold price to further outperform and reach US$5,000 if Trump's attacks on Powell escalate.
STAFF REPORTER
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
South China Morning Post
4 hours ago
- South China Morning Post
Trump tariffs challenge Asean's unity and economic stability
When US President Donald Trump 's tariff chaos eventually calms, its long-lasting consequences will significantly affect the area just south of China and east of India – Southeast Asia – and its organisational bloc, the Association of Southeast Asian Nations ( Asean ). Trump's focus on protectionism is likely to replace uniform tariffs with varying import taxes for different countries. This shift could create divisive and harmful effects for Southeast Asia and Asean, which are interchangeable but distinct, fostering competition rather than enhancing cooperation among their economies. The time has come to think of this central Indo-Pacific neighbourhood more as a Southeast Asian region and less as an Asean organisation of production networks and global supply chains. To be sure, Trump's unilateral tariffs across Washington's geoeconomic chessboard pose a critical test for Asean. The Southeast Asian grouping has weathered many geopolitical and geoeconomic storms in its 58-year existence, but few are as serious as the Trump tariffs. Asean risks facing further division, reduction, and irrelevance unless it can reorganise and unite. Over the last 13 years, Asean has already faced complicated divisions due to the US-China rivalry , Beijing's aggressive actions in the South China Sea , Myanmar's 2021 coup and subsequent civil war, along with Russia's invasion of Ukraine in February 2022. The responses of Asean member states to these challenges have varied.
RTHK
4 hours ago
- RTHK
Trump attends US Army's 250th anniversary parade
Trump attends US Army's 250th anniversary parade The procession was one Trump tried to make happen in his first term after seeing such an event in Paris in 2017. Photo: AFP The grand military parade that US President Donald Trump had been wanting for years barrelled down Constitution Avenue on Saturday with tanks, troops and a 21-gun salute, playing out against a counterpoint of protests around the country by those who decried the US leader as a dictator and would-be king. The Republican president, on his 79th birthday, sat on a special viewing stand south of the White House to watch the display of American military might, which began early and moved swiftly as light rain fell and clouds shrouded the Washington Monument. The procession, with more than 6,000 soldiers and 128 Army tanks, was one Trump tried to make happen in his first term after seeing such an event in Paris in 2017, but the plans never came together until the parade was added to an event recognising the Army's 250th anniversary. 'Every other country celebrates their victories. It's about time America did too,' Trump declared in brief remarks at the parade's end. Early in the evening's pageantry, the Army's Golden Knights parachute team descended from overcast skies toward the reviewing stand. The team had been scheduled to appear at the end of the parade, but jumped earlier than planned in the drizzly skies above the National Mall. At times, Trump stood and saluted as troops marched past the reviewing stand. But attendance appeared to fall far short of early predictions that as many as 200,000 people would attend the festival and parade. There were large gaps between viewers near the Washington Monument on a day when steamy weather and the threat of thunderstorms could have dampened turnout. Hours before the parade started, demonstrators turned out in streets and parks around the nation to sound off against the Republican president. They criticised Trump for using the military to respond to people protesting his deportation efforts and for the muscular military show in the US capital. The daylong display of America's Army came as Trump has shown his willingness to use the nation's military might in ways other US presidents have typically avoided. In the last week, he has activated the California National Guard over the governor's objections and dispatched the US Marines to provide security during Los Angeles protests related to immigration raids, prompting a state lawsuit to stop the deployments. (AP)
South China Morning Post
7 hours ago
- South China Morning Post
Trump's military parade starts on day marked by assassination, ‘No Kings' protests
This live blog has been made freely available as a public service to our readers. Please consider supporting SCMP's journalism by subscribing . Get faster notifications on the latest updates by downloading our app For the first time in more than three decades, the United States is holding a major military parade in the nation's capital on Saturday – fulfilling a long-standing desire of US President Donald Trump on a day that was marred by a political assassination Echoing displays more typically seen in countries including China, France and Russia , the parade in Washington was already expected to showcase the nation's political divisions. It proceeds on the same day as mass protests around the US, under the theme of 'No Kings', reflecting outrage against numerous actions the president has been taking. Follow the event live here, with details of the military equipment on display, images and highlights from Post correspondents in Washington DC and New York City as well as reports from around the US. WATCH LIVE: US military parade in Washington, DC WATCH LIVE: US military parade in Washington, DC Reporting by Bochen Han, Khushboo Razdan, Ziwen Zhao, Liu Zhen and Robert Delaney.
