Gold decreases and oil continues to decline with the decline of trade tension economy

Gold prices decreased today, Tuesday, with the decline in the attractiveness of the yellow metal as a safe haven due to the decline in trade tension between the United States and its commercial partners, while investors are waiting for US economic data to assess the path of the Federal Reserve Policy (the Central Bank of America).

Gold fell in instant transactions 0.91% to 3312.62 dollars an ounce, and American gold futures fell 0.87% to $ 3318.5.

“The risk environment has recently improved recently, with the market participants supported to optimism that the worst commercial tensions may be given amid a fan of trade deals.”

US Treasury Secretary Scott Besten said on Monday that a number of major trading partners of the United States submitted “very good” proposals to avoid American customs duties, and India is likely to be one of the first countries to conclude an agreement.

He added that the latest Chinese moves to exempt some American commodities from counter -tariffs showed that Beijing wanted to calm trade tension with the United States.

The administration of US President Donald Trump will also move to reduce the impact of customs duties on cars later today, Tuesday, by reducing some fees imposed on spare parts received from locally manufactured cars.

However, the risks of the global economy slipping into a stagnation this year are still high, according to experts in a Reuters poll, many of whom said that the customs duties imposed by Trump had affected the business sector.

Gold, which is a traditional refuge in political and financial instability, rose to its highest level at all at $ 3500.05 an ounce last week due to the increasing fog.

Investors are awaiting a series of economic data this week, with the issuance of the US employment report in the United States later on Tuesday, and the report of personal consumption expenses tomorrow, Wednesday, while the non -agricultural job report is issued on Friday.

“It is likely that the long -term structural winds of gold prices will maintain the broader bullish trend, with the support of the field available for the continuous diversification of reserves between central banks in emerging markets,” Rong said.

Oil

Crude oil prices fell amid the decline in investor expectations for the growth of demand due to the ongoing trade war between the United States and China, the world’s largest economies.

Brent crude futures fell $ 1.35 or 2.13% to record $ 64.41 a barrel, and US West Texas Intermediate crude futures fell $ 1.31 or 2.10%, registering $ 60.77 a barrel.

Both the two records fell by more than one dollar yesterday.

“The markets closely follow the trade negotiations between the United States and China, and she knows that the deterioration of commercial relations between the two largest economies in the world may push the global economy towards recession,” said Priyaca Sashdiva, chief market analyst at Philip Nova.

She added: “The lack of confidence in the future will remain and the absence of concrete indicators on the recovery of the demand in China will cast a shadow of oil prices.”

Most economists said in a poll to Reuters that US President Donald Trump’s efforts to reshape global trade to impose customs duties on all imports increased the risk of the global economy sliding to this year’s stagnation.

China, which received the most severe fees, responded by imposing customs duties on American goods, which sparked a trade war between the two largest countries in the world, consuming crude.

This prompted analysts to reduce their expectations for oil and its prices sharply.

On Monday, Barclays reduced his expectations for Brent price of 2025 by four dollars per barrel, and attributed this to the escalation of commercial tensions and the transformation of the production strategy for OPEC Plus as major factors behind a surplus in the oil supply of one million barrels per day this year.

Sources last week reported that a number of OPEC Plus members, which includes the Organization of Petroleum Exporting Countries (OPEC) and its allies, will propose to accelerate the increase in production for the second month in a row in June.

“It is possible that a significant decrease in oil prices will occur if the exporting countries reinforced their production,” said Oil Market analyst Philip Verligger in a note.

Meanwhile, US crude oil stocks are likely to have risen by 500,000 barrels per week ending April 15.

The American Petroleum Institute is scheduled to publish its estimates of US oil stocks later today, Tuesday, with official figures from the Energy Information Administration to be issued tomorrow, Wednesday.