Latest news with #COMEX
UPI
a day ago
- Business
- UPI
U.S. gold futures spike with 39% tariffs on Switzerland enacted
1 of 3 | The price of U.S. gold futures spiked Friday, a day after Switzerland was hit with 39% American tariffs on its goods, including 1-kilogram gold bullion bars. File Photo by Anatoli Zhdanov/UPI | License Photo Aug. 8 (UPI) -- The price of U.S. gold futures spiked on Friday, a day after Switzerland was hit with 39% American tariffs on its goods, including 1-kilogram gold bullion bars. Gold on the COMEX, the world's largest market for gold futures, eclipsed $3,530 on Friday, a 52-week high. The metal was up $8.10 or 0.23% to $3,461 as of 2 p.m. EDT. President Donald Trump last month confirmed he would move ahead with his reciprocal tariff policy for countries that had not reached a trade deal with the United States, meaning a 39% duty on Switzerland. Those levies took effect Thursday. A ruling on the U.S. Customs and Border Protection website confirms the tariffs extend to the gold bars refined in Switzerland. Some analysts had hoped for an exemption. The ruling applies to both the 1-kg and 100-ounce gold bars. "Both types of bars are used primarily to back contracts on the Commodity Exchange (Comex), but are also sold to jewelers or industrial consumers for manufacturing purposes," reads the CBP ruling, which came after a New York firm requested clarification on the matter ahead of the tariffs taking effect. "The back of each bar is lasered with a QR code that serves as a certificate of authenticity, the production date, and a serial number." Switzerland is the world's leading gold refining nation. The country exported more than $36 billion of gold to the United States during the first quarter, making around two-thirds of Switzerland's American trade surplus. Swiss Confederation President Karin Keller-Sutter visited Washington this week in an attempt to reach a last-minute deal to avoid the tariffs. "The Federal Council acknowledged the application of additional tariffs of 39 percent on goods imported from Switzerland into the United States. It remains firmly committed to continuing talks with the United States to achieve a reduction of these additional tariffs on Swiss goods as quickly as possible," Keller-Sutter said in a statement Thursday. "To this end, it remains in contact with the American authorities and the affected economic sectors. It will also shortly hold in-depth discussions on possible relief for companies and continuously review the need for further economic policy action."
Yahoo
a day ago
- Business
- Yahoo
Can Gold Reach Another New High in Q3 2025?
The gold bull market began in 1999, when the Bank of England auctioned half its reserves, pushing the price to a low of $252.50 per ounce. I concluded my Q2 Barchart report on precious metals with the following: Gold's trend remains higher, and the trend is always a trader or investor's best friend. Every correction since the 1999 bottom has been a buying opportunity, and I expect that trend to continue. Central banks continue to purchase gold to add to their reserves. Gold has become the second-leading reserve asset, surpassing the Euro currency as the second-leading reserve currency. The bottom line is that gold's trend remains, for lack of a better word, golden, as the markets head into the second half of 2025. At above $3,440 per ounce in August 2025, gold's bullish long-term trend remains firmly intact, and it has already reached another record peak in Q3. The long-term trend remains bullish Gold's long-term path of least resistance remains higher in early August 2025. The quarterly continuous contract chart highlights the COMEX gold futures' bullish technical trend after posting seven consecutive quarterly record highs. The latest peak of $3,534.10 on August 8, 2025. The precious metal acehived another new peak, extending the streak to eight consecutive quarters. Central banks have an unending golden appetite A weakening U.S. dollar, the world's reserve currency, geopolitical and economic risks, and asset diversification have led central banks to continue to add to their gold reserves. In June 2025, the World Gold Council reported that central banks had accumulated over 1,000 metric tons of gold in each of the last three years, up from the average of 400-500 tons over the preceding decade. While the increase is significant, it likely understates gold purchases by China and Russia, two of the world's leading gold-producing countries. Gold stockpiles are a matter of national security in China and Russia, so the statistics are unlikely to be accurate for these countries. China and Russia have increased their reserves through domestic production, likely resulting in underreporting their respective gold holdings. Factors supporting gold The following factors support higher gold prices in August 2025: Central bank reserve increases validate gold's role in the worldwide financial system. A weakening U.S. dollar, the world's reserve currency, supports higher gold prices. Inflation above the Fed's 2% target is positive for gold as the precious metal tends to appreciate during inflationary periods. Individual gold accumulation in portfolios continues. At $310.50 per share, the leading gold ETF product (GLD) had over $101.423 billion in assets under management. GLD trades an average of over 9.45 million shares daily and is only one of many gold ETFs that own physical gold bullion. Gold is the world's oldest means of exchange, and its appreciation from under $255 in 1999 to over $3,400 per ounce in August 2025 validates its position as a store of value and critical reserve asset. The trend in any market is always a trader or investor's best friend, and it remains bullish in August 2025. The danger of a correction rises with the price While gold prices have risen to record peaks each quarter since Q3 2023, the risk of a correction increases with each new high. The monthly chart shows that before Q3 2023, buying gold during corrections was optimal. Gold futures experienced a 45.7% correction from the September 2011 record high of $1,923.70 to the December 2015 low of $1,045.40 per ounce. After trading to an all-time peak of $2,089.20 in August 2020, gold's price declined 22.5% to a low of $1,618.30 in November 2022. While gold prices have experienced a parabolic rally from the November 2022 low there have been periodic corrections after reaching new highs over the past few years. The bottom line is that buying gold during price corrections has been optimal for years, and I expect that trend to continue. Bullish and bearish gold ETFs to consider The following gold ETFs that own physical gold bullion are: At $312.58, GLD, with over $101.423 billion in assets under management, trades an average of over 9.20 million shares daily and is the leading gold ETF product. At $63.97, IAU, with nearly $47.588 billion in assets under management, trades an average of over 5.94 million shares daily. At $33.43, BAR, with over $1.115 billion in assets under management, trades an average of over 479,900 shares daily. Other gold ETFs holding physical gold bullion are SGOL, GLDM, IAUM, and AAAU. Invest in Gold American Hartford Gold: #1 Precious Metals Dealer in the Nation Priority Gold: Up to $15k in Free Silver + Zero Account Fees on Qualifying Purchase Thor Metals Group: Best Overall Gold IRA For those looking to position for a gold downside correction, the following ETF products rise when gold's price declines: At $2.14, GDXD is a triple-leveraged bearish gold ETF product with over $56.7 million in assets, that trades over 11.5 million shares daily. GDXD is only suitable for short-term bearish gold risk positions, as its triple-leverage exposes it to time decay and reverse splits, which erodes the ETF's value. At $20.72, GLL is a double-leveraged bearish gold ETF product with over $67.39 million in assets, that trades over 454,400 shares daily. GLL is only suitable for short-term bearish gold risk positions, as its double leverage exposes it to time decay, which erodes the ETF's value. At $6.71, DGZ is an unleveraged bearish gold ETN product with over $2.147 million in assets that trades only 1,010 shares daily. DGZ presents an additional risk as an ETN, as it depends on both the issuer's credit and the gold price. At $1.83, DZZ is a double-leveraged bearish gold ETN product with over $3.29 million in assets that trades 3,765 shares daily. DZZ is only suitable for short-term bearish gold risk positions, as its double leverage experiences time decay that erodes the ETN's value. Moreover, DZZ presents an additional risk as an ETN, as it depends on both the issuer's credit and the gold price. There are many gold mining leveraged and unleveraged ETFs and ETNs, bullish and bearish products, that move in line with gold prices. Moreover, other diversified precious metals (GTLR) and diversified commodity ETF and ETN products contain exposure to gold along with other commodity prices. Time will tell if gold continues to reach further record highs in the coming quarters. At over $3,440 in August, the leading precious metal that is a commodity and a currency reserve asset will now set a course for achieving the nineth consecutive quarterly record high in Q4 2025. The latest news on a U.S. tariff on one-kilogram and hundred-ounce gold bars has created unprecedented disruption across precious metals markets, triggering a cascade of volatility in related derivatives instruments. I view the news as another bullish factor for gold and the other leading precious metals. On the date of publication, Andrew Hecht did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
See - Sada Elbalad
a day ago
- Business
- See - Sada Elbalad
Trump's 39% Gold Tariff Shakes Global Bullion Trade, Hits Swiss Refineries
Waleed Farouk In a move that has rattled precious metals markets, the United States has imposed a 39% tariff on imports of gold bars weighing one kilogram and 100 ounces, after reclassifying them under a taxable customs code—reversing earlier expectations that they would be exempt from the tariffs enacted by U.S. President Donald Trump as part of his trade policies. One-kilogram bars are the most traded unit on the U.S. COMEX exchange and represent the bulk of Switzerland's gold exports to the United States, which totaled around $61.5 billion in a single year. Industry estimates suggest that approximately $24 billion of these exports will now be subject to tariffs, prompting some Swiss refineries to temporarily suspend or scale back shipments amid legal uncertainty. The decision has sparked widespread concern within the sector. The president of the Swiss Precious Metals Manufacturers and Traders Association described the move as 'another blow' to trade with the United States, warning that it could hinder the ability to meet global gold demand. Switzerland, for its part, is calling for gold to be excluded from trade balance calculations, stressing that the added value from domestic refining is minimal compared to the metal's overall market price. This development threatens to reshape global gold flows and could push markets to seek alternative refining and shipping hubs at a time when demand for the metal as a hedge is rising amid growing economic and geopolitical volatility. read more CBE: Deposits in Local Currency Hit EGP 5.25 Trillion Morocco Plans to Spend $1 Billion to Mitigate Drought Effect Gov't Approves Final Version of State Ownership Policy Document Egypt's Economy Expected to Grow 5% by the end of 2022/23- Minister Qatar Agrees to Supply Germany with LNG for 15 Years Business Oil Prices Descend amid Anticipation of Additional US Strategic Petroleum Reserves Business Suez Canal Records $704 Million, Historically Highest Monthly Revenue Business Egypt's Stock Exchange Earns EGP 4.9 Billion on Tuesday Business Wheat delivery season commences on April 15 News Israeli-Linked Hadassah Clinic in Moscow Treats Wounded Iranian IRGC Fighters Arts & Culture "Jurassic World Rebirth" Gets Streaming Date News China Launches Largest Ever Aircraft Carrier News Ayat Khaddoura's Final Video Captures Bombardment of Beit Lahia Business Egyptian Pound Undervalued by 30%, Says Goldman Sachs Videos & Features Tragedy Overshadows MC Alger Championship Celebration: One Fan Dead, 11 Injured After Stadium Fall Lifestyle Get to Know 2025 Eid Al Adha Prayer Times in Egypt Arts & Culture South Korean Actress Kang Seo-ha Dies at 31 after Cancer Battle Arts & Culture Lebanese Media: Fayrouz Collapses after Death of Ziad Rahbani Sports Get to Know 2025 WWE Evolution Results
Mid East Info
a day ago
- Business
- Mid East Info
Tariff shock sends gold futures soaring – yet spot market holds the real signal – Saxo Bank - Middle East Business News and Information
Ole Hansen, Head of Commodity Strategy, Saxo Bank Gold futures on the COMEX exchange in New York soared overnight relative to the London spot price after an article in the Financial Times suggested the US would now—counter to expectations—apply tariffs on imports of 1 kg and 100 oz bars adding a fresh blow to Switzerland, the world's largest refining hub. One-kilo bars are the most common form traded and accepted into vaults monitored by the COMEX exchange, and Switzerland is often used as the refining hub between the London bullion market, which generally trades in 400-ounce bars (12.44 kg), and the smaller sizes mostly traded and accepted in the US market. It's worth noting that the US futures market is often used by bullion banks globally as a highly liquid, around-the-clock hedging tool for transactions in the physical bullion market. This is the main reason why we're once again seeing the spread—reflected in the exchange for physical (EFP)—widen sharply, as short positions originally intended as hedges suddenly blow up. In the short-term the main driver has been short-covering and once that is completed the premium may ease back a bit. We saw similar dislocations during COVID, when the transatlantic bullion supply chain briefly stalled, and again earlier this year amid speculation that Trump's tariffs might include precious metals. For now, it's worth watching whether another 'TACO moment' will emerge. If not, the spread may need to settle at a new level that reflects the tariff landscape. In parallel, much like the recent events in the NY copper market, these developments raise serious questions about the ability of the NY futures markets to offer a stable and trustworthy trading environment that offers the best price discovery—one that increasingly appears vulnerable to being hijacked by Trump's shifting tariff agenda. The December futures (GCZ5), the main traded contract on COMEX, hit a fresh record high overnight at USD 3,534, with the premium above the London spot blowing out to more than USD 100 from around USD 40 this time last week. All developments that—for now—solidify the London spot price (XAUUSD) as the most reliable source telling us what the real value of gold is. Do not look at technical breakouts in the futures market as the price action is currently taken hostage by movements in the EFP. What counts is what the spot price is doing, and it remains stuck in a range since April, with a break above USD 3,450 needed to change that. Also supporting silver and platinum early in the month was a surge in High-Grade copper prices in New York, which hit a record $5.8955/lb on July 8. This followed President Trump's surprise suggestion of a 50% tariff on copper imports—double what markets had priced in. The remark drove the premium over LME copper in London to a record 34%, sparking a rush to ship copper into the U.S. ahead of the deadline. That trade unraveled last week when Trump, in a sudden reversal, announced that refined copper—traded on futures exchanges—would be excluded from the tariff until at least January 2027. The New York premium collapsed within minutes, leaving traders nursing losses and U.S. warehouses with copper inventories at a 21-year high. With imports set to dry up, U.S. prices may now fall below global benchmarks to clear the excess.
Economic Times
a day ago
- Business
- Economic Times
Trump's 39% tariffs on gold bars to wreak havoc on COMEX. Peter Schiffs explains how
The US government's decision to impose tariffs on Swiss gold imports could cause major disruptions in the gold market, according to economist and gold advocate Peter Schiff, with a fear of a surge in premiums and a scramble to cover short positions on the COMEX. ADVERTISEMENT Highlighting these risks, Peter Schiff took to X (formerly Twitter) to warn that Trump's tariffs could 'wreak havoc on the COMEX,' as shorts race to cover positions to dodge the hefty duties on Swiss gold bars. Link: He noted that even the mere threat of tariffs will push bar prices higher due to scarcity and risk hedging.'Trump's tariffs on 100-ounce and 1-kilo gold bars could wreak havoc on the COMEX. Prices could soar as shorts rush to cover to avoid having to pay 39% tariffs to import bars from Switzerland if longs take delivery,' Schiff said in his new 39% tariff on one-kilo and 100-ounce gold bars may result in soaring prices as market participants rush to avoid the steep import duties. Even if the actual imports don't materialize, all such bars are likely to trade at elevated premiums, leading to widespread dislocations in pricing and liquidity. ADVERTISEMENT The development follows a 31 July ruling by US Customs and Border Protection (CBP), which reclassified these bars under code 7108.13.5500—making them subject to import tariffs. This closes the previous exemption under code 7108.12.10, which had allowed such imports to bypass duties. The Financial Times was first to report on the ruling, which could significantly impact gold trade flows, particularly from Switzerland. ADVERTISEMENT Switzerland, home to the world's top gold refineries and a major bullion supplier to the US, exported $61.5 billion worth of gold to America in the 12 months through June. Under the new tariff regime, that volume would attract an estimated $24 billion in additional Wild, president of the Swiss Association of Manufacturers and Traders of Precious Metals, described the ruling as 'another blow' to Swiss gold exports to the US, as diplomatic tensions between Washington and Bern escalate. ADVERTISEMENT Also read: MSCI August 2025 rejig: Swiggy, Vishal Megamart among 2 others included, 2 thrown out. Check full list here (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times) (You can now subscribe to our ETMarkets WhatsApp channel)
