Gold prices rose on Thursday, supported by a weaker dollar and as investors sought safe-haven assets after U.S. President Donald Trump warned a trade deal with China was in danger, sending global stocks lower.
Concerns about the dispute’s potential impact on economic growth has also weighed on palladium prices, which tumbled to their lowest in four months.
Spot gold was up 0.3 percent at $1,284.11 per ounce, having climbed to its highest since April 15 at $1,291.39 on Wednesday.
U.S. gold futures settled $3.80 higher at $1,285.20.
Gold remains fairly stable on safe-haven appeal due to weakness across the board in global equities on the back of concerns regarding trade,
said David Meger, director of metals trading at High Ridge Futures.
Trade talks in the next several days will keep the uncertainty high, he added.
The U.S. Trade Representative’s office has said that tariffs on $200 billion worth of Chinese goods would increase to 25 percent from 10 percent at 12:01 a.m. (0401) GMT on Friday, right in the middle of two days of meetings between Chinese Vice Premier Liu He and Trump’s top trade officials in Washington.
The Japanese yen surged to a three-month high against the dollar, while world stocks fell for a fourth day running on Thursday.Read More
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