The renewed rally in the precious metal comes as concerns mount over United States (US) trade policy after President Donald Trump issued fresh threats to impose unilateral tariffs on key trading partners. The move has rattled financial markets and raised fears of a potential escalation in global trade disputes.

Adding to the bullish momentum for gold, weaker-than-expected US consumer and producer inflation figures have increased market expectations for additional interest rate cuts by the US Federal Reserve this year. Lower interest rates tend to reduce the opportunity cost of holding non-yielding assets like gold, making them more attractive to investors.

--SABC/ChannelAfrica--