Gold reversed its direction on Tuesday after a decline on Monday, trading above $2,910. The reversal of gold prices coincided with a notable movement in the EUR/USD pair as bidders found the gas pedal, briefly returning to the 1.0950 level. Investors are increasingly worried about the potential economic fallout from US President Trump's tariffs, which is keeping the USD under pressure. This weakness in the USD is providing support for the XAU/USD.
The EUR/USD pair tested into fresh 22-week highs as Euro bulls continue pressing further into recovery territory. Market dynamics suggest that the persistent pressure on the USD is likely to continue influencing currency and commodity markets. The underlying concerns surrounding US trade policies play a pivotal role in shaping these financial movements, with many investors keenly observing how these developments unfold.
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