Gold Pares Losses as Trump Tariffs Drive Safe-haven Interest

A goldsmith crafts jewelry at a workshop in Karachi, Pakistan, 29 January 2025. EPA/SHAHZAIB AKBER
A goldsmith crafts jewelry at a workshop in Karachi, Pakistan, 29 January 2025. EPA/SHAHZAIB AKBER
TT

Gold Pares Losses as Trump Tariffs Drive Safe-haven Interest

A goldsmith crafts jewelry at a workshop in Karachi, Pakistan, 29 January 2025. EPA/SHAHZAIB AKBER
A goldsmith crafts jewelry at a workshop in Karachi, Pakistan, 29 January 2025. EPA/SHAHZAIB AKBER

Gold prices erased early losses on Monday to remain close to record highs on safe-haven demand driven by growth and inflation concerns sparked by US President Donald Trump’s tariffs on Mexico, Canada and China.
Having initially slid more than 1% on a surging US dollar, spot gold recovered to be down 0.2% at $2,795.29 an ounce by 1005 GMT while US gold futures had lost 0.2% to $2,829.40, still trading at a premium to spot rates, Reuters reported.
The 25% tariffs imposed by Trump on Canadian and Mexican imports from Tuesday, along with a 10% charge on Chinese goods, fueled fears of a trade war that could slow global growth and feed inflation.
Canada and Mexico ordered retaliatory measures while China said it would challenge the tariffs at the World Trade Organization and take unspecified countermeasures.
Gold, often regarded as a safe-haven investment during periods of economic or geopolitical instability, soared to a record peak of $2,817.23 on Friday.
But prices retreated early on Monday as the dollar surged to its strongest in three weeks, making gold more expensive for buyers holding other currencies.
"The stronger US dollar was temporarily weighing on the yellow metal, but the case to hold gold as a safe haven still makes sense to me in a world going potentially into a tariffs war," said UBS analyst Giovanni Staunovo.
"I still see upside for gold from current levels, looking for prices to head to $2,850/oz over the coming months."
J.P. Morgan noted that bearish contagion from equities could weigh on gold in the near term, but disruptive tariffs continue to fuel a medium-term bull case for bullion.
Data this week on US job openings, the ADP employment report and the US employment report could provide insights into the health of the US economy.
Spot silver dropped 0.6% to $31.13 an ounce, platinum lost 1.4% to $964.20 and palladium eased by 0.3% to $1,005.25.



Saudi Arabia Unveils Pavilion at International Defense Exhibition and Conference in UAE

The Saudi pavilion is showcasing the latest technologies and advanced systems, underscoring the significant progress the Kingdom has made in localizing military industries, in alignment with the objectives of Saudi Vision 2030. (SPA)
The Saudi pavilion is showcasing the latest technologies and advanced systems, underscoring the significant progress the Kingdom has made in localizing military industries, in alignment with the objectives of Saudi Vision 2030. (SPA)
TT

Saudi Arabia Unveils Pavilion at International Defense Exhibition and Conference in UAE

The Saudi pavilion is showcasing the latest technologies and advanced systems, underscoring the significant progress the Kingdom has made in localizing military industries, in alignment with the objectives of Saudi Vision 2030. (SPA)
The Saudi pavilion is showcasing the latest technologies and advanced systems, underscoring the significant progress the Kingdom has made in localizing military industries, in alignment with the objectives of Saudi Vision 2030. (SPA)

The activities of the Saudi pavilion, organized by the General Authority for Military Industries (GAMI), kicked off on Monday at the International Defense Exhibition and Conference "IDEX 2025" in Abu Dhabi. This event is being held under the patronage of Sheikh Mohamed bin Zayed Al Nahyan, President of the United Arab Emirates.

Governor of GAMI Eng. Ahmad Abdulaziz Al-Ohali participated in the launch, in the presence of Lt.-Gen. Mohammad Bin Abdulrahman bin Hamed Al-Gharibi, Chief of Staff of the Royal Saudi Naval Forces, Sultan bin Abdullah Al-Angari, Saudi ambassador to the UAE, and a number of officials, international investors and decision-makers in the sector.

Al-Ohali emphasized the significance of the Kingdom's participation in IDEX 2025 as a leading global platform for showcasing the latest military technologies.

He underscored the importance of establishing international partnerships that enhance the Kingdom's defense and security capabilities.

The Saudi pavilion serves as a strategic window that reaffirms the Kingdom's commitment to developing its defense sector and strengthening national competencies, contributing to the ambitious goal of localizing over 50% of military spending by 2030, he added.

During the exhibition, GAMI signed a cooperation agreement in the field of government quality assurance with the Defense Acquisition Program Administration in South Korea.

The agreement aims to boost the assurance and reliability of defense products and services carried out under purchasing and acquisition operations, in accordance with the local laws and regulations of both sides.

The agreement reflects the mutual desire of both parties to deepen joint cooperation in the field of defense industry and technology, in a way that achieves the national interests of both countries. The two parties also intend to expand the scope of cooperation by exchanging experiences and best practices in the field of government quality assurance for defense products and services.

The Saudi pavilion is showcasing the latest technologies and advanced systems, underscoring the significant progress the Kingdom has made in localizing military industries, in alignment with the objectives of Saudi Vision 2030.

It is presenting the latest locally developed defense technologies across military, defense, and security industries. It features a variety of military products aimed at highlighting the capabilities of the defense and military sectors. Additionally, it presents investors with a conducive investment environment and the promising opportunities available in the sector.

In addition to GAMI and the General Authority for Defense Development (GADD), the pavilion includes the World Defense Show (WDS), along with several national companies operating in the military industries sector. The companies include the Saudi Arabian Military Industries (SAMI), the National Company for Mechanical Systems (NCMS), the Middle East Propulsion Company (MEPC), the Saudi Chemical Company Holding (SCCH), AlKorayef Group, Life Shield Military Industries (LIFE SHIELD), Emaan International, QUDRA Industrial Company, and the Saudi Company for Aircraft Maintenance and Preparation (GDC).