Gold benefits from dollar blues as trade deal seems imminent
The metal edges higher as greenback sags amid the prospect of a trade deal between China and the US
Bengaluru — Gold prices edged higher on Monday, after falling below the critical $1,300 level to their lowest since January 25 in the previous session, as the dollar softened on prospects of a trade deal between China and the US. Spot gold was up 0.3% at $1,296.61/oz as of 3.52am GMT, after touching its lowest in more than a month at 1,289.91 in the previous session. US gold futures were down 0.2% at $1,297.20/oz. The US-China trade deal appears to be closer to reality, rolling back US tariffs on Chinese goods, as Beijing makes pledges on structural economic changes and eliminates retaliatory tariffs, a source briefed on negotiations said on Sunday. “Dollar rose quite considerably last week and brought gold prices down, but we are seeing a reversal of that now [on trade deal prospects],” said Kyle Rodda, a market analyst with IG Markets in Melbourne. “The global economy is still slowing and central banks should intervene to support their economy, which gives upside potential for gol...
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