After plunging over 1% earlier in the day, which sent prices to their lowest points in over three weeks, gold recovered to about $3,040 an ounce on Monday
The first downturn, which was caused by concerns that a recession would result from an expanding global trade war, led some investors to liquidate their holdings in order to lock in profits, maybe to cover losses or margin calls from significant decreases in other assets.
Federal Reserve Chairman Jerome Powell added to investor anxiety by warning that tariffs raised the possibility of slower growth and higher inflation, highlighting the challenging road ahead for policy.
