Mubasher: Gold prices on Thursday edged up on Thursday, having climbed earlier by more than 1% in the preceding session, after the US slapped European products with tariffs adding to global economic outlook uncertainty, according to Reuters.

By 12:06 pm GMT, spot gold rose by 0.11% to $1,501.06 per ounce, while US gold futures inched up by 0.05% to $1,508.60 per ounce.

It is worth pointing out that gold climbed by 1.4% on Wednesday after gloomy data on US non-farm employment, raising concerns about a slowdown in the world’s biggest economy.

Washington on Wednesday announced that it would levy tariffs on $7.5 billion worth of certain products incoming from the European Union (EU) annually, after the World Trade Organization (WTO) allowed the US to take these measures.

“Trump’s tariffs against the European Union create a certain amount of uncertainty and potential for economic failure,” SP Angel analyst John Meyer was quoted by Reuters.

At times of geopolitical and economic uncertainties, the yellow metal is deemed as a store of value.

Adding further gloom to the global economic outlook, a new business survey showed on Thursday that private sector growth in the Eurozone almost stagnated last September, as a downturn persisted in manufacturing activity, dragging services business down.

The US administration’s tariff announcement led global equities close to their lowest levels since four weeks.

Moreover, the US dollar dropped to one-week lows against the euro and Japanese yen (JPY).

The US dollar index was last seen ticking up by 0.03% to 99.0460.