UBS: Maintains core forecast of gold price at $3500 and does not rule out possibility of rise to $3800.

Trump on Monday refuted the idea that gold would be taxed, ending speculation about whether gold would be caught in ongoing trade tensions. UBS Global Management Company stated that although the direct risk of gold being taxed has been eliminated, this event highlights the potential for policy-driven fluctuations. With the easing of uncertainty, UBS stated that their reasons for investing in gold still exist and they have reconsidered the record-breaking $3,500.05 per ounce in April. UBS expects that the trend of de-dollarization, concerns about sanctions, doubts about the independence of the Fed, and ongoing geopolitical and macroeconomic risks will support their core forecast of $3,500 per ounce. Additionally, if geopolitical or economic situations worsen, the risk of gold rising to $3,800 per ounce cannot be ruled out.