Placement: Will Trump’s customs duties are shaking the course of gold?

Donald Trump’s shock announcements on new global customs duties have caused a panic wind on the markets. Rare fact: even gold, yet refuge value, picks up … but perhaps not for long.

Panic wind on the world economy. The announcement by Donald Trump, Wednesday April 2, important customs duties across the globe had the scholarships drop this Thursday, April 3: the CAC 40 plunges to the closure this evening (-3.31%), while the US equity indices have continued their decline since their opening this afternoon (-3.08% for the Dow Jones, -3.64% for S&P 500, -4.79% for the Nasdaq). More surprising, gold is also trained in this massacre, with a drop in ounce in euros of 2.36% For the time being on the day. “It’s amazing. Usually gold rises when other assets fall ”underlines Nicolas Cracco, CEO of Gold Avenue.

For Antoine Andreani, research manager at XTB France, this “anomaly” lives up to the explosive nature of Donald Trump’s announcements: “This is so much a paradigm change for the global economy that everything falls: gold, clues, dollar … There is a panic effect, everyone presses the” Sale “button (Sell, Editor’s note).»A correction which turns out to be even more logical for gold, which has experienced a dazzling progression in recent times: “It is not irrational to attend a temporary correction Following the sharp increase in the last 12 months (+37%) “abounds Nicolas Cracco.

Fires that seem green for yellow metal

Also, once after this decline which could last a few days, the prospects promises to be rather positive for yellow metal holders. Two historically decisive factors in the rise in its course threaten to increase following the decision of the tenant of the White House. First, the feeling of uncertainty, already well at work since the return of the former president, should still grow in the coming months, with a host of questions for the moment without response: how will the targeted countries react? Will global trade are collapsing? Are we going to a vast recession?

In this heckled context, the demand for gold generally tends to increase: “Investors repatriated on an asset like gold, which seems less speculative and volatile, and reassuring by its tangible side, which one can converse for example at home. Moreover, despite the historical levels affected, we see more purchase than taking advantage, that is to say of resale, which accentuates the Haussier movement ”explains Nicolas Cracco. This without counting on another potential flambé factor: inflation, which threatens again, since the prospecting duty enacted will mechanically add the cost of goods and services.

However, when prices go up, savers also tend to buy gold, because the barbaric relic is then perceived as an asset “refuge”, which is not likely to lose in value, unlike currencies. Thus, without “crystal ball”, impossible to assert that the Once d’Or will continue to climb in the coming months: “It is always a combination of factorssupports Nicolas Cracco. But in any case, we can say that the economic and political factors that have contributed to the progression of gold in the past two years are still there. ”

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