Gold softer after Secretary Lutnick reiterates Trump could cancel tariffs

LONDON (March 5) Gold’s price (XAU/USD) eases again, though less severe after earlier losses in the Asian trading session and trades around $2,920 at the time of writing on Wednesday. With tariffs still in place and several more tariffs to come for Europe and other countries, Gold will remain the place to be in terms of safe haven.

However, some surprising comments from United States (US) Commerce Secretary Howard Lutnick overnight hinted that tariffs could already be eased or fully unwinded for Mexico and Canada. This pressures the upside for Gold for now. 

Daily digest market movers: Trump to confirm easing

• US President Donald Trump doubled tariffs on China and imposed 25% levies against Canada and Mexico earlier this week. However, US Commerce Secretary Howard Lutnick hinted at some relief for the US’s two neighbors, telling Fox Business there could be a path to reduce some of the duties, Bloomberg reports.
• Zimbabwe’s Gold output jumped to 2,568 kg last month from 1,854 kg in the year-earlier period, Fidelity Gold Refinery says in an emailed statement, Reuters reports.
• Gold's extreme price dislocations are fading as tightness in the physical market eases, indicating a rush to ship bullion to America may have run its course, Bloomberg reports. 

FXStreet