Global gold price drops sharply on May 19 2025

According ⁤to webangah News Agency, the decline in the U.S. dollar’s value and renewed trade tensions pushed gold prices higher in Monday’s trading.U.S. treasury Secretary Scott Basnett’s emphasis on former President Donald Trump’s tariff ⁢threats has increased demand for gold as ​a safe-haven asset.

Gold futures on New ‌York’s ⁣COMEX market also rose 1.29%, reaching $3,228.20 per ounce.

Last Friday, gold fell over 2% following improved risk appetite after a U.S.-China trade agreement, marking its worst weekly performance since November⁣ of last year.

The dollar index dropped 0.3% on Monday,making gold cheaper for holders of‍ other ‍currencies worldwide.

Credit rating agency Moody’s downgraded the U.S.’s credit rating by one notch on Friday due to concerns over rising ‌American debt‍ levels.

In a⁢ Sunday ⁤television⁤ interview, Secretary Basnett stated that Trump would enforce tariffs against trading ⁢partners who fail to negotiate trade deals in good faith.

Trump’s trade wars have considerably disrupted global commerce and damaged financial markets as investors grapple with ⁣what Basnett ‍called “strategic instability” aimed at reshaping trade ⁤relations in America’s favor.

Gold remains a traditional safe haven‌ during⁣ political‍ and economic ⁢turbulence while benefiting from low-interest-rate environments.

Recent‍ U.S.‍ economic data shows unexpected declines in producer prices and slowing retail growth—though consumer price increases remain below expectations.

Among other precious metals: silver rose ⁣0.71% to $32.959 per ounce while platinum gained 0.22%, trading at $993.66 per ounce.