Trump Launches Full Attack on Powell! Dollar Crashes, Precious Metals Surge!

TradingKey - The clash between Trump and Powell intensifies. Gold and copper prices are soaring, and the upward trend may continue. 

On Tuesday, gold prices (XAUUSD) surged to set a new record. Spot gold briefly reached $3,500 before pulling back slightly. It is now trading at $3,468 per ounce. Meanwhile, copper prices hit a two-week high, with both Shanghai and London prices rising over 1%.

Gold Price Trend Chart, Source: TradingView.

Recently, President Trump has openly challenged Federal Reserve Chair Powell. Last Friday, he claimed he would fire Powell. On Monday, he called for an immediate interest rate cut. Powell responded last week, stating he would not lower rates until the impact of Trump's tariff policies on inflation becomes clear.

Trump's actions are undermining the independence of the Federal Reserve. This is increasing market concerns about the U.S. economy, leading to a sell-off of U.S. assets. On Monday, the U.S. financial market experienced a "triple whammy" of stocks, currencies, and bonds. The dollar index fell below 98, reaching a nearly three-year low. 

If the power struggle between Trump and Powell continues, funds will likely keep shifting to safe-haven assets. Precious metals like gold and copper will continue to benefit.