Gold prices fluctuate sharply after tax information and clarification from the White House.

Gold prices rose to the sky to over 3,400 USD/ounce immediately after the administration of President Donald Trump announced that it would impose “reciprocal” tariffs on gold bullion imported from Switzerland, but quickly turned to fall when the White House clarified that it would issue an order exempting this item from tariffs.

Previously, Bloomberg reported that the U.S. Customs and Border Protection (CBP) had notified a Swiss gold refiner that 1 kg and 100 ounce gold bars would be subject to a 39% tax. This information shocked the market, pushing the price of gold futures contracts in New York to a record high, as these contracts are backed by gold bars from Switzerland and other major trading and refining centers.

Experts warn that imposing taxes on bullion could impact the futures contracts of gold in the U.S. and the global flow of precious metals. UBS believes that until there is clarity, the gold and precious metals market will remain volatile.

The Swiss Association of Precious Metals also expressed concerns, emphasizing that the U.S. is a long-standing partner and that imposing tariffs will affect the physical gold exchange activities between the two countries.