Gold (GC=F) futures opened at $3,999.90 per ounce on Tuesday, just below Monday’s close of $4,001.90. Previously, gold had opened above $4,000 each day since October 13.
Gold’s dip below $4,000 follows Trump’s announcement that the U.S. is close to making a trade deal with China. Tensions with China have threatened the availability of rare-earth minerals and reduced soybean sales for U.S. farmers. In retaliation, President Trump had said the U.S. would implement a 100% tariff on Chinese exports beginning in November. The back-and-forth had bolstered demand for gold as a safe-haven asset.
Treasury Secretary Scott Bessent now does not expect Trump’s 100% tariff will take effect. He also said China should resume soybean purchasing and delay rare-earth mineral export restrictions. As China trade tensions ease, investors are shifting their attention to stocks,
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The opening price of gold futures on Tuesday is just below Monday’s close of $4,001.90 per ounce. Here’s a look at how gold prices are trending over the last week, month, and year:
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One week ago: -7.7%
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One month ago: +5.9%
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One year ago: +46.2%
Just last week, the price of gold futures was up 60.6% from one year ago.
24/7 gold price tracking: Don’t forget you can monitor the current price of gold on Yahoo Finance 24 hours a day, seven days a week.
Want to learn more about the current top-performing companies in the gold industry? Explore a list of the top-performing companies in the gold industry using the Yahoo Finance Screener. You can create your own screeners with over 150 different screening criteria.
Learn more: Gold vs. crypto: Which should investors own in debasement trade?
Gold has the same high-level risk as any investment: You could lose money. And, as with other investments, a loss on gold can materialize in different ways. Understanding the potential outcomes is the first step to managing your risk when investing in gold.
According to gold experts, would-be gold investors should understand these four risks:
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Price
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Speculation
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Opportunity cost
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Fraud
Today, we’ll focus on the first two: price and speculation.
Learn more: How to invest in gold in 4 steps
There is a price risk for investors who buy gold when the metal is nearing record high prices. “Buying high to hope for short-term higher is a tough strategy,” said Darrell Fletcher, managing director, commodities at Bannockburn Capital Markets.
Despite the high prices, there are positive dynamics in play for the precious metal. Fletcher pointed out that gold is recovering from decades of low prices, and it’s an increasingly popular diversification asset for central banks and individual investors.
The right expectations, a long timeline, and an appropriate allocation can limit your pricing risk. “Gold should not be seen as a driver of supercharged returns — it’s there to act primarily as a stabilizer in a diversified portfolio,” explained Alex Tsepaev, chief strategy officer of B2PRIME Group.
If you are interested in learning more about gold’s historical value, Yahoo Finance has been tracking the historical price of gold since 2000.
Thomas Winmill, portfolio manager at Midas Funds, encourages investors to view positions in gold bullion, coins, and ETFs as speculative. Gold is a commodity, and “commodity prices are dependent on macroeconomic, political, industrial, and financial factors that are unpredictable, and in some cases, unknowable.”
Despite its recent performance, gold is an unpredictable asset. Keeping that in mind when making trading decisions could protect you from over-exposure and unrealistic expectations.
Learn more: Thinking of buying gold? Here’s what investors should watch for.
Whether you’re tracking the price of gold since last month or last year, the price-of-gold chart below shows the precious metal’s steady upward climb in value.
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