Gold prices steady as Sino-US trade hopes drag dollar

By: |
Published: February 13, 2019 9:39:05 AM

US gold futures were mostly unchanged at $1,314.20 per ounce.

gold prices, dollar, spot gold, US gold futures, china, US, Donald Trump, US china trade dealSpot gold was steady at ,311 per ounce, as of 0115 GMT. (Reuters)

Gold prices held firm on Wednesday as the dollar weakened on hopes of a trade deal between the United States and China, but an improved risk appetite limited gains.


* Spot gold was steady at $1,311 per ounce, as of 0115 GMT.

* U.S. gold futures were mostly unchanged at $1,314.20 per ounce.

* U.S. and Chinese officials expressed hopes that a new round of trade talks, which began in Beijing on Monday, would bring them closer to easing their nearly year-long trade war.

* U.S. President Donald Trump said on Tuesday that he could let the March 1 deadline for a trade agreement with China “slide for a little while,” but that he would prefer not to and expects to meet with Chinese President Xi Jinping.

Also read| Oil prices rise 1 percent amid OPEC supply cuts, US sanctions on Venezuela’s oil exports 

* Beijing and Washington are trying to hammer out a deal before the March 1 deadline, after which U.S. tariffs on $200 billion worth of Chinese imports are scheduled to increase to 25 percent from 10 percent.

* In Washington, U.S. lawmakers reached a tentative deal on border security funding, although aides cautioned that it did not contain the $5.7 billion President Donald Trump wants to build a wall on the Mexican border.

* Trump expressed displeasure with the deal on border security spending that offered no funds for his promised U.S.-Mexican border wall, but did not reject it outright and indicated he did not expect a shutdown.

* For the near-term, gold is expected to stay above $1,300, which is seen as a critical support level in charts followed by technical traders, analysts said.

* Holdings of SPDR Gold Trust, the world’s largest gold-backed exchange-traded fund, fell 0.40 percent to 798.89 tonnes on Tuesday from Monday.

* South Africa’s Sibanye-Stillwater said on Tuesday it was considering measures including restructuring if alternative solutions could not be found to bring loss-making gold shafts back to profitability.

* Investors made a U-turn on emerging markets, naming them the most crowded trade, in Bank of America Merrill Lynch’s survey for the first time in its history.

* The risk of a U.S. recession is not currently elevated, Federal Reserve Chairman Jerome Powell said on Tuesday.

Get live Stock Prices from BSE and NSE and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Switch to Hindi Edition