Gold and silver prices rose on Wednesday, February 25, as investors flocked to the precious metals as a safe haven during Asian trading, amid their assessment of uncertainty over US tariffs.
The United States began collecting new temporary tariffs of 10% on imports from around the world on Tuesday, but a White House official said Washington is working to raise them to 15%, sparking controversy.
There is uncertainty surrounding Trump's policies regarding tariffs.
The US Supreme Court decided last week to cancel the overall tariffs.
On the monetary policy front, two Federal Reserve officials indicated there was no desire to change interest rate policy in the near term.
The CME Group’s FedWatch tool shows that markets currently expect interest rates to be cut 25 basis points three times this year.
In trading, the spot price of gold rose by about 1% to $5,196.4 per ounce, while the price of futures contracts for the yellow metal rose by 0.7% to $5,212.8 per ounce.
Meanwhile, the spot price of silver rose by about 3.5% to $90.3505 per ounce.
Demand for gold-backed exchange-traded funds (ETFs) in China rose by 52% in five months, from 188.8 tons to 286.3 tons between August 2025 and the end of last year.
High gold prices, continued geopolitical uncertainty, and strong institutional demand have all contributed to China's continued appetite for gold.
The precious metal had ended the previous trading session down by more than 1% as investors moved to take profits after it touched a three-week high earlier in the day.
Kyle Rodda, senior market analyst at Capital.com, said in comments reported by Reuters: “The return of the Chinese market, along with increasing policy uncertainty in the United States, continues to boost the appeal of gold and, to some extent, silver as well.”
On the geopolitical front, Omani Foreign Minister Badr al-Busaidi said that Iran and the United States are scheduled to hold the third round of nuclear talks tomorrow, Thursday, in Geneva.
