The financial markets witnessed significant fluctuations on Tuesday as Dogecoin's price fell to $0.14, cementing a 46% loss over the past ten days. Meanwhile, a global 25% tariff on all steel and aluminum imports into the United States is set to take effect at midnight Eastern Standard Time on Wednesday. Additionally, gold experienced a rebound, trading above $2,910, reversing Monday's downturn. Investors are increasingly apprehensive about the potential economic impacts stemming from U.S. President Donald Trump's tariff policies.
Dogecoin's recent downturn has attracted considerable attention from market analysts. The cryptocurrency has seen a staggering 46% decline over the last ten days, with its price hitting $0.14 on Tuesday. Despite these losses, market reports suggest that developments involving Trump and Tesla CEO Elon Musk could potentially stabilize Dogecoin prices in the near future.
Adding to market volatility, President Trump announced that a 25% tariff on steel and aluminum imports would commence at midnight on March 12th. This tariff will apply universally, with no exceptions or exemptions for trading partners, including Canada. Initially, during Tuesday's early U.S. market session, Trump threatened to double steel tariffs specifically on Canada, causing further uncertainty. However, by the day's end, he had retracted this threat. Trump's Trade Secretary, Peter Navarro, also affirmed that there would be no 50% tariffs imposed on Canada the following day.
The impending tariffs have raised concerns among investors about potential economic repercussions. The U.S. dollar (USD) remained under pressure due to these ongoing tariff worries. Nonetheless, the USD lent some support to the XAU/USD pair, as gold prices climbed above $2,910 on Tuesday after experiencing a decline earlier in the week.
Gold's upward trajectory has been attributed to investor anxiety over the economic fallout from President Trump's tariff measures. The precious metal's value often increases during times of economic uncertainty, as investors seek safer assets. Thus, the reversal in gold's price trend on Tuesday reflects heightened apprehension in the market.