Gold prices close over 1% lower

Gold bars

Gold prices ended in the red today, April 3, as investors sold off bullion holdings to cover losses from a wider market meltdown, triggered by US Donald Trump's recent hardlines tariffs that sparked concerns of a global recession.

June gold futures plummeted by 1.4%, or $44.50, to finish at $3,121.70 per ounce.

Similarly, the US dollar index, which gauges the greenback’s strength against a basket of six major currencies, fell 1.7% to 102.07 points at 9:44 pm Makkah time.

Morgan Stanley currently projects the Federal Reserve to hold off on cutting interest rates this year, after previously forecasting a 25-basis-point cut in June. This is given the possibility of rising inflation levels on the back of new tariffs.

Markets are awaiting the release of the monthly US jobs report on Friday, amid concerns about a potential slowdown in the US economy after the addition of fewer jobs than anticipated in February.