Gold Surges Amid US Dollar Volatility: US-China Trade War and Market Impact

Donald Trump’s reversal of tariffs on Canadian and Mexican imports led to a strong rebound in the S&P 500. Investors interpreted this move as a de-escalation of trade tensions in North America. However, tariffs on Chinese imports remain in place, prompting swift retaliation from Beijing. China imposed duties of 15% on US coal and LNG and 10% on crude oil, farm equipment, and automobiles. It also launched an anti-monopoly probe into Google, including US firms on its “unreliable entities list.” These actions suggest a prolonged trade conflict between the world’s two largest economies.