US President Trump has pledged — “Gold will not be Tariffed!” via Truth Social.
Gold prices reversed course Monday after President Trump moved to squash market panic over a potential new import tariff on bullion. The scare began when a U.S. Customs ruling appeared to classify certain Swiss-made gold bars as subject to tariffs—part of a broader trade policy shift targeting luxury imports. The interpretation sent Comex futures to $3,534/oz, a near-record, as traders scrambled to price in higher costs for imported bullion.
The White House quickly stepped in. Trump posted on Truth Social: “Gold will not be Tariffed!”—an unusual direct intervention clearly aimed at calming both commodity markets and the jewelry industry ahead of the November election.
- Tariff confusion was real: Without Trump’s clarification, the ruling could have triggered higher costs for refiners, ETFs, and jewelers importing bullion from Switzerland, which accounts for two-thirds of global gold refining.
- Market whiplash: Futures dropped ~2.4% after the statement, spot prices fell ~1.2%, and gold closed at its lowest since Aug. 1.
- Policy volatility risk: Traders note the episode fits a pattern—abrupt shifts in tariff policy that create short-term price spikes and erode longer-term confidence.
Bottom Line: Trump’s “no-tariff” vow was damage control—walking back an obscure trade classification before it could choke bullion flows, spike costs for U.S. buyers, and turn into a political headache. The quick reversal calmed prices, but underscored how fragile sentiment remains in a headline-driven gold market.
Trump’s abrupt messaging underscores a volatile policy backdrop—bullish momentum checks out, but uncertainty still strangles confidence.