FX.co ★ Gold Set for Strongest Month Since the 1980s

Gold exceeded $5,400 per ounce on Friday, continuing its upward trajectory after a brief decline in the previous session, and is on track for an impressive monthly gain of over 25%—its most significant performance since the 1980s. This surge is largely attributed to the persistent weakness of the US dollar, coupled with heightened economic and geopolitical uncertainty. Recently, President Donald Trump signed an executive order imposing tariffs on goods from nations that sell or supply oil to Cuba, increasing pressure on Mexico. This action comes after prior threats to impose a 25% tariff on South Korea due to delays in a trade agreement. Further supporting gold, Trump minimized concerns regarding the dollar’s drop to its lowest levels in four years, indicating a tolerance for a weaker currency amidst renewed tariff threats and criticism of the Federal Reserve. Concurrently, geopolitical tensions remain elevated, with Trump urging Iran to participate in nuclear discussions, while Tehran warned of retaliation and promised an unprecedented response.