TLDR
- Gold futures advanced 0.6% to reach $5,205.80/oz Wednesday following Trump’s State of the Union remarks
- Trump maintained his position on tariffs, declaring “the deals are all done,” while a 10% global import tariff became active Tuesday
- Administration officials are preparing to increase that tariff to 15% following Supreme Court intervention on previous duties
- JP Morgan elevated its gold price projection to $6,300/oz by end-2026, with long-term outlook rising to $4,500/oz
- Silver advanced more than 3% to $90.44/oz; platinum climbed 7% to reach $2,340.10/oz
Gold prices moved higher Wednesday morning following Donald Trump’s State of the Union address, where he reinforced his commitment to tariffs and indicated his trade policy would remain firm.
Gold futures (GC=F) advanced 0.6% to $5,205.80 per ounce. Spot gold increased 0.7% to $5,180.91 an ounce.
The rally followed Tuesday’s pullback, when gold declined 1.6% after recording four consecutive sessions of gains.
Trump addressed Congress Tuesday evening, stating “the deals are all done,” dismissing speculation about softening his trade position. He also criticized the Supreme Court’s involvement in his tariff policy, describing it as “unfortunate.”
The court invalidated Trump’s sweeping emergency-powers tariffs last Friday. The administration responded within hours by announcing a new 10% global import tariff utilizing authority under Section 122 of the Trade Act of 1974.
That 10% rate became operational on Tuesday. The White House is currently preparing a formal order to elevate it to 15%, according to Bloomberg. Trump mentioned that higher rate on Saturday but has yet to officially enact it.
The escalating trade uncertainty directed investors toward gold as a protective asset.
JP Morgan Sees Gold Hitting $6,300
JP Morgan released an optimistic assessment of gold Wednesday, increasing its end-2026 price projection to $6,300 per ounce. The financial institution also elevated its long-term forecast to $4,500/oz, pointing to robust demand from central banks and investors.
A moderately softer U.S. dollar also supported gold on Wednesday, reducing the metal’s cost for international buyers.
Interest rate expectations provided some resistance to gold’s advance. Two Federal Reserve officials indicated Tuesday that they anticipate minimal policy adjustments in the near term, reinforcing expectations for sustained higher rates. That scenario typically creates headwinds for non-yielding assets like gold.
U.S.-Iran nuclear negotiations are scheduled for Thursday in Geneva, introducing another element of geopolitical uncertainty that market participants are monitoring.
Other Metals Also Moving
Silver delivered a robust performance, rising more than 3% to $90.44 per ounce.
Platinum climbed 7% to $2,340.10 per ounce.
Copper posted modest gains. LME benchmark copper futures increased 0.5% to $13,292.0 a ton. U.S. copper futures advanced 0.4% to $6.0162 a pound.
Analysts at ING observed that copper climbed back above $13,000 per ton as Chinese market participants resumed trading following Lunar New Year holidays, strengthening import demand.
ING stated that while initial indicators of demand recovery are emerging, elevated inventory levels will likely constrain the pace of market tightening.
The next critical indicator, according to ING, will be whether import arbitrage remains favorable and generates consistent stock reductions on the London Metal Exchange.
As of Wednesday morning, spot gold was trading at $5,185.90 per ounce, up 0.8%, with U.S. gold futures at $5,203.62/oz.
