Gold is getting cheaper from record levels on fears of duties in the USA

On Monday, August 11, gold prices on the Comex exchange decreased by 2.2% to $3,414.6 per troy ounce according to December futures. This drop followed the historical high of $3,534.1, recorded on August 8.

The reason for the drawdown was concerns that the United States would impose duties on gold bars from Switzerland weighing 1 kg and 100 ounces (2.8 kg), which, according to the Customs and Border Protection Service, fall under the relevant customs code. Later, the media reported that the administration of Donald Trump may exclude such bars from the list of duty-free goods.

The decline was also supported by a weakened demand for protective assets amid hopes for a peaceful settlement of the conflict in Ukraine. A meeting between Trump and Vladimir Putin on this topic is scheduled for August 15 in Alaska.

Meanwhile, analysts raised their forecast for gold prices for the next three months to $3,300-3,600 per ounce from the previous $3,100-3,500. According to them, interest in gold in the last six months has been fueled by fears of a recession in the United States due to high interest rates and trade duties imposed by Trump.