Gold price (XAU/USD) trades with a positive bias through the first half of the European session on Wednesday and remains close to the all-time peak touched the previous day.

Investors remain worried about US President Donald Trump's aggressive trade policies and their impact on the global economy. Adding to this, persistent geopolitical tensions turn out to be key factors acting as a tailwind for the safe-haven bullion.

Furthermore, expectations that the Federal Reserve (Fed) will resume its rate-cutting cycle soon in the wake of a tariff-driven US economic slowdown lend additional support to the non-yielding Gold price.

This, along with subdued US Dollar (USD) demand, contributes to the modest intraday gains. The XAU/USD bulls, however, seem reluctant to place aggressive bets ahead of Trump's reciprocal tariffs announcement.

Source: FXStreet