Gold steadies as hopes for a US-China trade truce sees dollar drop
SPDR Gold holdings are down 3% so far in February, reflecting an improved sentiment in financial markets, ‘which is a bit of a drag on gold’
Bengaluru — Gold steadied on Wednesday as the dollar slipped from a two-month peak on hopes of a trade deal between the US and China, with the metal’s gains capped by rising global stock markets. Spot gold was up 0.1% at $1,311.65 an ounce, as of 11.08am GMT, while US gold futures gained 0.1% to $1,314.60 an ounce. “The fact that gold prices have been holding above the $1,300 level over the past few days is supporting the market and the dollar index is somewhat weaker,” said Commerzbank analyst Eugen Weinberg. “Overall there is healthy demand from investors for gold.” The dollar steadied against its peers, easing off a two-month peak hit in the previous session, on hopes of a US-China trade truce. The currency has, since last year, been the preferred refuge for investors concerned about the dispute. US President Donald Trump said on Tuesday that he could see letting the March 1 deadline for reaching an agreement with China “slide for a little while”, if the two sides were close to a...
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