Metals Monday: Trump's trade war boosts gold

Commodity Callout

The trade war has kicked off and the market is reacting. Stocks are reeling and even cryptocurrency is experiencing pain because of it. Yet, gold looks to be holding strong. It’s long been held as the standard for safe haven investing and now is no different.  Those trade fears, along with rising inflation that’s becoming impossible to ignore, are fueling demand for gold as traders look for ways to mitigate the losses. This is likely to be the case for the foreseeable future as trade wars ignite and volatility worsens. 

Metal Price Update

Gold — Tariff threats were good business for gold in the past week. It saw its price inch above $2800 per ounce as investors sought out a haven among newly introduced volatility and uncertainty. It’s now knocking on the door of $2900 per ounce, and this could be a trend over the next few weeks. 

Silver — As usual, silver followed the same general trend as gold. Its high price over the past week brought it within reach of $32 per ounce. With continued volatility, silver could find itself at new all-time highs before long. 

Copper — Copper was also affected by the uncertainty in the commodities markets following the news related to tariffs. It ended the week at close to $4.25 per pound, up from around $4.20 at the start of the week. If tariffs are imposed directly on copper, which is a possibility, that will lead to consumers paying more, a positive for the companies that extract it. 

Lithium Carbonate — Lithium carbonate prices saw another slight uptick, according to most recent numbers. From $10,712 to $10,738 per metric ton. This could be a sign that prices are beginning to recover as the industry continues to deal with oversupply.

Uranium — The disruption in the tech sector last week, with Chinese company DeepSeek revealing its own AI, affected commodities as well. Uranium saw its price fall somewhat. It started the week at just over $71 per pound but slid to just under that as investors second guessed Silicon Valley claims that their AI data centers would need the type of power they claimed. That put pressure on the uranium that would hypothetically be used to power those data centers. Still, uranium has other avenues for growth. Namely the continuing clean energy buildout happening globally. 

Company Callout

Hannan metals has all of the momentum behind it to be the kind of fortune-making investment play that many dream about but few get to actually experience. Its flagship Valiente copper-gold project in Peru is a large-scale play that’s mostly unexplored, and the company may likely have permitting news related to it soon. Not only would this put Hannan in position to profit from the gold bull market discussed above but it would also allow the company to benefit from the copper bull that’s starting to emerge. 

Gerardo recently spoke with company CEO Michael Hudson about the project’s prospects. You can listen to that interview by clicking here and learn just why this is set to be a big winner for resource investors over the next year.

Keep your eyes open,

Ryan Stancil

Ryan Stancil
Editor, Resource Stock Digest