Gold Falls as Positive US-China Talks Hamper Safe-haven Appeal
Gold slipped on Monday as positive US-China trade talks alleviated market fears, leading investors to shift from safe-haven assets towards riskier investments.
Spot gold fell 1.4% to $3,277.34 an ounce, as of 0432 GMT. US gold futures lost 1.9% to $3,281.70, Reuters reported.
“The dollar index has advanced as the Trump administration touted progress in trade negotiations, with China following negotiations over the weekend in Switzerland which weighed on gold prices,” said Jigar Trivedi, senior commodity analyst at Reliance Securities.
The US and China ended high-stakes trade talks on a positive note on Sunday, with US officials touting a “deal” to reduce the US trade deficit, while Chinese officials said they had reached “important consensus”.
Chinese Vice Premier He Lifeng said a joint statement would be released in Geneva on Monday.
The US and China imposed tit-for-tat tariffs on each other last month, triggering a trade war that fueled fears of global recession.
