Gold rose to around $2,940 per ounce on Thursday, approaching record levels, as escalating global trade tensions continued to fuel safe-haven demand.

On Wednesday, President Donald Trump warned of additional tariffs on EU goods after the EU and Canada retaliated against existing US trade barriers.

Commerce Secretary Howard Lutnick also said that Trump would impose trade protections on copper as well.

Meanwhile, both headline and core US inflation came in below expectations, reassuring investors about disinflation progress and giving the Federal Reserve more flexibility for a less restrictive stance. However, the impact of tariffs has yet to materialize, and inflation could rise again in the coming months.

Source: Trading Economics