AXMIN Inc (TSXV: AXM)
AXMIN Inc. (TSXV:AXM) is a Canadian-based exploration and development company with a strong focus on central and West Africa.
Following U.S. President Donald Trump’s announcement of imposing a 25% tariff on Canada and Mexico starting March 4, the dollar strengthened, and gold prices fell. As of 11:26 a.m. New York time, spot gold dropped 1.5% to $2,873.10 per ounce. The Bloomberg Dollar Spot Index climbed 0.6%. Silver, platinum, and palladium all declined. Gold prices have fallen approximately 2% over the week.
Trump also stated that he would impose an additional 10% tariff on imports from China. As the dollar gained strength, gold prices decreased by 1.7%. A stronger dollar makes the dollar-denominated precious metal less attractive to foreign investors.
Gold prices are on track to record their first weekly decline since the end of December. Investors are cashing in on the metal’s fiery rally, which has seen prices surge more than 9% this year and hit record highs.
Previously, gold’s recent gains were broadly supported by safe-haven demand amid concerns and confusion over Trump’s plans for comprehensive tariffs.
Trump’s comments on the timing, scale, and targets of tariffs have often bewildered global markets, while his geopolitical maneuvers have also highlighted gold’s role as a store of value in times of uncertainty. Moreover, new research suggests that the tariffs President Trump plans to impose on Chinese imports could hit the U.S. economy harder than official U.S. trade data indicate.
Looking ahead, investors will analyze the Federal Reserve’s preferred inflation gauge on Friday U.S. time for more clues on monetary policy. Treasury investors anticipate the central bank will shift its focus from inflation to growth. As investors pay closer attention to U.S. economic data, especially amid uncertainty over the direction of the Federal Reserve’s monetary policy, gold may still benefit from future uncertainties.
