• Gold benefits from US President Donald Trump’s harsh talks on tariffs. 
• US yields turn lower after printing a new five-day high on Thursday.
• Traders are heading back into safe-haven assets as reciprocal tariffs approach. 

Gold’s price (XAU/USD) hits a fresh all-time high above the $2,990 level at the time of writing on Friday, registering a weekly gain of over 2.5% for now. The additional inflow and demand for Bullion came after United States (US) President Donald Trump fired back at European counter-tariffs, saying he would slap 200% tariffs on wine and champagne from the region. 

This has spooked market participants into believing that all bets are off and that US President Trump will not step back or ease his stance on tariffs, raising even more concerns regarding growth and demand for risk assets. Meanwhile, US yields hit a fresh five-day high on Thursday before retreating. 

Daily digest market movers: Concerns are growing 

• President Donald Trump’s aggressive tariff agenda fanned concerns about the potential hit to growth, hurting demand for risk assets and aiding flows into bullion-backed funds, Bloomberg reports.
•  Some Chinese jeweler stocks have risen substantially this week. On Friday, mainland-listed Zhejiang Ming Jewelry Co. surged by its 10% gain limit for a fourth day. Chow Tai Fook Jewellery Group was also up, showing that traders are looking for associated companies that can profit from a higher Gold price, Bloomberg reports. 
• Macquarie Group’s Commodities Strategy team lead, Marcus Garvey, pointed out on Thursday that holdings are still about 20% below its previous peak in 2020. This means there is still ample scope for inflows to increase in the precious metal, Reuters reports.
• The CME Fedwatch Tool sees a 97.0% chance for no interest rate changes in the upcoming Fed meeting on March 19. The chances of a rate cut at the May 7 meeting currently stand at 30.3%.