Gold pauses after hitting record high, eyes $3,000 milestone

March 14 (Reuters) – Gold held steady on Friday after hitting a record high, as persistent uncertainty over U.S. tariffs and fears of trade tensions propelled prices, along with increased expectations of monetary policy easing by the Federal Reserve.

* Spot gold was flat at $2,986.45 an ounce as of 0050 GMT, after hitting a record high of $2,989.46, within touching distance of the $3,000 an ounce milestone.

* U.S. gold futures rose 0.3% to $2,999.50.

* Latest in U.S. President Donald Trump’s multi-front trade war, the European Union responded to blanket U.S. tariffs on steel and aluminium by imposing a 50% tax on American whiskey exports, prompting the president to threaten on Truth Social to charge a 200% tariff on imports of European wines and spirits.

* Trump’s tariffs are widely expected to stoke inflation and economic uncertainty, and have prompted gold to reach multiple record highs in 2025.

* Gold is seen as a hedge against political risks and inflation.

* Data from the U.S. Labor Department showed producer prices were unexpectedly unchanged in February, while the consumer price index rose 0.2% last month after accelerating 0.5% in January.

* Markets now await the Fed’s monetary policy meeting next Wednesday. The central bank is expected to keep its benchmark overnight interest rate in the 4.25%-4.50% range.

* Non-yielding bullion thrives in a low interest rate environment.

* Meanwhile, Russia’s President Vladimir Putin said on Thursday Russia supported a U.S. proposal for a ceasefire in Ukraine in principle, but sought a number of clarifications and conditions that appeared to rule out a quick end to the fighting.

* Spot silver eased 0.3% to $33.7 an ounce, platinum added 0.3% to $994.80, and palladium gained 0.7% to $964.63.

DATA/EVENTS (GMT) 0700 UK GDP Est 3M/3M, GDP Estimate MM, GDP Estimate YY Jan 0700 UK Services MM, Services YY Jan 0700 UK Manufacturing Output Jan 0745 France CPI (EU Norm) Final MM, CPI (EU Norm) Final YY Feb 0745 France CPI YY NSA, CPI MM NSA Feb 1100 EU Reserve Assets Total Feb 1400 US U Mich Sentiment Prelim Mar

(Reporting by Anjana Anil in Bengaluru; Editing by Rashmi Aich)