FX.co ★ Gold Hits Record High on Trump’s New Tariff Threat

Gold prices soared over 1% on Monday, surpassing $4,660 per ounce and setting a new record high. This surge was prompted by investors gravitating towards safe-haven assets in response to President Trump's declaration of new tariffs targeting European countries. Over the weekend, President Trump announced the imposition of a 10% tariff on imports from eight European nations, effective February 1, as retaliation against their resistance to U.S. interests in Greenland. The tariffs could escalate to 25% by June 1 if there's no agreement on the "complete and total purchase of Greenland." This announcement has raised concerns across Europe, prompting European leaders to schedule an emergency meeting in the coming days to deliberate on potential retaliatory strategies. The bullion market has already been experiencing substantial gains this year, buoyed by its strong performance in 2025, amid political unrest in Venezuela, rising apprehensions regarding the Federal Reserve's autonomy, and the anticipated continuation of U.S. interest rate reductions.