XAUUSD rises due to tariff wars and weak economic data

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XAUUSD rises due to tariff wars and weak economic data

Gold climbed to 3,380.00 level on August 7, hitting a two-week high, as renewed U.S. tariff threats and expectations of Federal Reserve rate cuts in September and December boosted its appeal. President Trump announced 100% tariffs on imported semiconductors (excluding U.S.-made), 25% on Indian imports, and 50% on select Brazilian goods. Additionally, Weak U.S. economic data and a cooling labor market further support gold’s rise.

Technically, price has formed the Pennant chart pattern right below the local resistance of 3,380.00. Further breakout of the level and ascending towards 3,440.00 level is expected in short-term.

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