Precious Metals Start the Week Calm Amid Fresh Trade Deal Announcements

 

Metals Start the Week Calm Amid Fresh Trade Deal Announcements

(Bullion News Network) – After a shortened trading week due to Independence Day, gold and silver are set to close Monday with only a bit of price action. The spot price of gold moved up, gaining around $11 per troy ounce. Silver prices remained largely unchanged from Friday’s close, with the precious metal losing just a few cents. The price action slightly favored gold, driving the gold-silver ratio around 0.5 points higher to 90.60:1. This figure is down considerably from 2025’s peak of 104.78:1, which was also a five-year high for the ratio. Today’s muted price action comes as markets await more trade deal news from the Trump administration. 

On Monday morning, U.S. President Donald Trump published a series of letters proposing new trade deals with several countries around the world. The White House extended its tariff deadline to August 1st, giving nations a bit more time to prepare before a fresh slate of tariffs go into effect. For now, the following countries have received letters from President Trump:

• Japan 
• Malaysia
• South Africa
• Kazakhstan
• Laos
• Myanmar
• South Korea

The letters propose new, heightened tariffs for each country, as well as a warning that the United States will raise tariffs on countries that choose to retaliate with import fees of their own. According to the White House, President Trump is set to extend the tariff deadline to August 1st via executive order. CNBC reports that Treasury Secretary Scott Bessent expects more trade announcements to be published “over the next 48 hours.” These new tariffs are set to expand and refine the White House’s historically high lineup of “liberation day” tariffs announced by the President in February. 

Gold flourished in the panicky aftermath of the February announcements, which some economists say could upend the global economic order and raise prices for American consumers. The price of gold also jumped after a flare-up in economic tensions between the U.S. and Canada, one of the United States’ largest trade partners, and China, the second biggest economy in the world and a major exporter of technology products to the U.S. Uncertainty surrounding tariffs has been a significant factor in gold’s 2025 price run, with the price of gold per ounce moving quickly when new developments feed into panic on Wall Street. 

Trump also took steps to escalate his economic battle with BRICS, a monetary and political alliance made up of ten countries. The intergovernmental organization expanded in 2025, when Indonesia and Nigeria joined. Although BRICS has not yet formalized a plan, its member nations have discussed the possibility of establishing a shared currency that may rival the United States dollar’s status as a reserve currency. Opponents of BRICS, including the Trump administration, view it as an attempt to undercut American economic influence, particularly in the developing world. 

In a Truth Social post on Monday, President Trump threatened higher tariffs on nations that decide to align themselves with BRICS:

Any Country aligning themselves with the Anti-American policies of BRICS, will be charged an ADDITIONAL 10% Tariff. There will be no exceptions to this policy. Thank you for your attention to this matter!

Wall Street slid as President Trump continued to roll out his tariff letters. The Dow fell by over 400 points, with the new tariffs on South Korea and Japan taking center stage amid a busy news cycle. Both countries export a significant amount of auto parts, industrial tools, and manufacturing technologies to the United States. If the proposed tariffs remain unchanged when they go into effect in August, some economists believe that prices for consumer goods in the U.S. are likely to rise. The tech-heavy Nasdaq also dropped today, losing nearly 1% after news of the new tariffs hit Wall Street. The S&P 500 was spared from a larger loss, dipping 0.79%.

Despite the tariff drama, CNN’s Fear and Greed Index finds that markets are being motivated by “extreme greed.” Stocks hit record highs last week, although volatility remains relatively elevated. Extreme greed in the stock market is typically a bearish sign for gold, which is a safe haven asset often traded during periods characterized by uncertainty. 

On Wednesday, investors will be able to read the minutes from the Federal Reserve’s June meeting. President Trump has repeatedly criticized Powell, encouraging the Federal Reserve Chair to cut interest rates while accusing him of politicizing his position in the central banking system. Wednesday’s meeting minutes could provide more insight into how the Federal Open Market Committee (FOMC) views the current state of the United States economy. As of right now, CME FedWatch projects only a 4.7% probability that the Fed will vote to cut rates at its July meeting. 

Gold and silver ended Monday largely unchanged, with gold slightly up and silver slightly down. The gold-silver ratio increased on Monday, settling at 90.73:1 by market close.