Gold Prices Drop as US and EU Near Tariff Agreement

Gold prices continued their downward trajectory on March 15, 2024, as reports emerged indicating that the United States and the European Union (EU) are nearing a 15 percent tariff agreement. This development has diminished the demand for gold as a safe-haven asset, prompting investors to shift their focus.

Spot gold fell by 1.2 percent to $3,389.09 per ounce, following a rise earlier in the session that had brought it to its highest level since June 16, 2023. Meanwhile, US gold futures also experienced a decline, decreasing by 1.3 percent to $3,399.90.

Precious Metals Market Overview

In contrast to gold, other precious metals showed varying trends. Spot silver rose by 0.2 percent to reach $39.19 per ounce, marking its highest level in nearly 14 years. This increase suggests a continued interest in silver amid shifting market conditions.

On the other hand, platinum saw a decrease of 1.4 percent, falling to $1,421.79, while palladium experienced a modest rise, gaining 0.2 percent to settle at $1,277.26.

The fluctuations in gold and other precious metals highlight the current market dynamics influenced by geopolitical developments. As the US and EU edge closer to finalizing their tariff agreement, market participants are closely monitoring these negotiations and their potential impact on global trade and investment strategies.