Gold prices in Egypt stabilized during Friday morning trading following a wave of slight increases, supported by renewed demand for safe havens in global markets amid escalating trade tensions between the United States and India. Yesterday, US President Donald Trump announced the imposition of an additional 25% tariff on Indian goods imports, a move that intensified trade disputes between the two countries and pushed investors towards gold as a safe option. According to an analysis from the “Gold Bullion” platform, gold managed to recover losses from Wednesday’s session and continued its upward trend since the beginning of the week, reaching its highest level in two weeks and approaching the psychological resistance level of $3400 per ounce. The Trump administration justified the new tariffs due to India’s continued purchase of Russian oil, which exacerbated trade disputes, especially after the failure of recent bilateral talks.

These tariffs are set to take effect 21 days after August 7, raising tariffs on some Indian goods to 50%, one of the highest rates imposed on a US trading partner. Trump also announced plans to impose tariffs up to 100% on semiconductor imports. These developments led to the US dollar index falling to its lowest level in two weeks, boosting gold gains due to their inverse relationship. The continuous decline in US bond yields also supported global gold prices, as lower yields reduce the opportunity cost of holding the non-yielding yellow metal.