Gold wobbles on firmer dollar
Metal slips as the greenback is boosted by safe-haven demand as investors watch US-China tensions amid heightened risk aversion
Bengaluru — Gold prices eased slightly on Wednesday as the dollar was boosted by safe-haven demand as investors eyed US-China tensions amid heightened risk aversion. Spot gold dipped 0.1% to $1,220.36/oz at 4.35am GMT. US gold futures were flat at $1,220.70/oz. The dollar firmed against its major peers on Wednesday, as investors shunned riskier assets in favour of safe-haven currencies on heightened concerns about slowing global growth and the US-China trade war. The dollar index was steady after it gained about 0.7% in the previous session, pulling away from a two-week trough of 96.042. Asian stocks fell, weighed down by a renewed bout of selling on Wall Street. “The US dollar increase will continue the headwinds for gold purely because gold is a dollar-denominated commodity,” said Argonaut Securities analyst Helen Lau. “In the near-term people will start pricing in the ongoing turbulence in the equity markets so that should be supportive for gold,” Lau said. The metal has fallen a...
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