Kuala Lumpur: Gold futures on Bursa Malaysia Derivatives are expected to see an upward trend in the coming week, as investors may gravitate towards safe-haven assets amidst renewed market uncertainty surrounding US tariff policy developments, said SPI Asset Management managing partner Stephen Innes. This prediction comes in the wake of a US federal appeals court temporarily reinstating President Donald Trump’s tariffs after a lower court ruling had invalidated them.
According to BERNAMA News Agency, the US Court of International Trade had previously declared the tariffs announced by Trump as illegal. However, following the Trump administration’s challenge, the tariffs have been temporarily restored while the appeal process is ongoing. This situation suggests that the precious metal could potentially test the US$3,340 per troy ounce level, as indicated by Innes.
“We may see gold edge up by around two per cent, but the spotlight remains on the US dollar, which will be the main driver. A weaker greenback would be supportive of gold prices,” Innes told Bernama. Investors are also closely monitoring US economic indicators, particularly labor market data and inflation figures, including nonfarm payrolls, the unemployment rate, and the Institute for Supply Management manufacturing index, to glean further insight into the movement of precious metals next week.
From a Friday-to-Friday perspective, the spot month May 2025 contract saw a decrease, falling to US$3,293.60 per troy ounce from US$3,336.50 per troy ounce. Similarly, the June 2025 contract decreased to US$3,312.20 per troy ounce from US$3,349.70 per troy ounce. Contracts for July 2025, August 2025, and October 2025 also weakened, settling at US$3,325.90 per troy ounce from US$3,363.40 per troy ounce.
Trading volume saw a drop to 256 lots from the 1,854 lots recorded in the preceding week, while open interest increased to 139 contracts from 82 contracts. According to the London Bullion Market Association’s afternoon fix on May 29, physical gold was priced at US$3,312.40 per troy ounce.