12:07 April 21, 2025
Gold Hits Record $ 3.400 Near As Trump Threatens to Fire Fed Chair, Powell; US dollar sinks 🗽
Gold has increased by over 2 % today, driven by the uncertainty on the markets and a weaker US dollar that suffered a strong blow when investors began to seriously incorporate the risk of changing management at the US Federal Reserve after Donald Trump the dismissal of Fed boss Powell as possible had signaled. The dollar index futures (USDIDX) fell by more than 1.2 % during the EURUSD increased by 0.85 % and reached with around 1.15 new local highs.
â–º Gold WKN: 965515 | ISIN: XC0009655157 | Ticker: GOLD
- Last Friday, Donald Trump said that he could relieve Fed boss Jerome PowellIf he really wanted this while the director of the National Economic Council, Kevin Hassett, confirmed that Trump intended. A weaker dollar has long been a goal of the Trump government, which leads to the competitiveness of exports as an important advantage.
- Trump has been open to Powell openly for some time and argues that the United States had “practically no inflation” and the interest should have been reduced long ago. The markets react to this rhetoric as a further sign of Trump’s unpredictability, which is regarded as an undermining of the institutional and legal order in the United States and at the same time signals a possible turn to a more reserved policy of the Federal Reserve. Powells current term ends in May 2026.
Gold benefits as a “anti-dollar” system and traditional safe port in times of geopolitical tensions or political upheavals that threaten Fiat currencies, particularly strongly from this development. Today, the precious metal has reached a new all-time wedding with almost $ 3,400 per Ãœbz. The mixture of weaker US economic data, persistent trading voltages (yet no agreement in sight), geopolitical uncertainty and a possible “moderate attitude” of the FED without the support of Powell supports the gold price.
Sources: XStation55 from XTB
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