New 25 percent U.S. tariffs on imports from Mexico and Canada went into effect on Tuesday, along with a doubling of duties on Chinese goods to 20%, adding to the overall tensions that could hit economic growth and lead to further price increases for Americans. Federal Reserve Bank of New York President John Williams, president of the Federal Reserve Bank of New York, said the new U.S. tariffs would likely increase inflation, but noted that current interest rate policy is adequate and does not require changes.

Although gold has traditionally been considered a hedge against inflation, a rise in interest rates could reduce its appeal. Markets now await the release of the ADP employment report later in the day and the US non-farm payrolls data on Friday. В If the probability of an interest rate hike increases, gold will come under under selling pressure and may retrace the last day of winter. low prices.