Tariff war fueling Gold - countdown to $2,800

Gold has reached a new record high price, surpassing the November peak by approximately $10 at the time of writing.

Political uncertainty in the U.S., particularly concerning trade policy, is fueling the rally. Reports indicate that the Trump administration is "not close at all to making a decision" on China tariffs. Meanwhile, Beijing has signaled flexibility on the future of TikTok, a major sticking point in the tariff negotiations.

However, markets anticipate that new tariffs on two of the U.S.’s closest allies - Mexico and Canada - could be announced on February 1.

From a technical perspective, the daily chart suggests gold could break above $2,800 in the coming sessions. Technical indicators continue to advance within positive levels, nearing overbought territory but still with room for further gains.