Gold price rally takes a pause on ease in US-Iran standoff
Gold Price Today: Gold prices edged lower on Friday, having declined as much as 1% in the previous session, as de-escalation in U.S.-Iran tensions brought relief to markets and boosted investors` appetite for riskier assets.
Gold Price Today: Gold prices edged lower on Friday, having declined as much as 1% in the previous session, as de-escalation in U.S.-Iran tensions brought relief to markets and boosted investors` appetite for riskier assets. Spot gold fell 0.1% to $1,551.02 per ounce by 0045 GMT. Prices hit their lowest since Jan. 3 at $1,539.78 in the previous session. U.S. gold futures eased 0.2% to $1,551.40.
Markets received a respite after U.S. President Donald Trump responded to Iran`s missile attacks with sanctions instead of military action. World`s shares hit a record high on relief as Mideast tensions subsided. The U.S. House of Representatives passed a resolution on Thursday to stop Trump from further military action against Iran, days after he ordered a drone strike that killed a top Iranian commander and raised fears of war.
See Zee Business Live TV streaming below:
Investors are now focused on a `Phase 1` trade deal signing between Washington and Beijing next week. However, large Chinese purchases of Brazilian soybeans and a pair of unexpected policy moves by Beijing have dimmed U.S. hopes that China would double its imports of American farm products this year. Trump said his administration will start negotiating the `Phase 2` agreement soon but that he might wait to complete any deal until after November`s U.S. presidential election.
The global trade wars may not be over, but U.S. Federal Reserve officials on Thursday said the economy may have weathered the worst of it as risks begin to ease and businesses adjust to a new trade environment. Sudan has begun allowing private traders to export gold, a measure designed to crack down on smuggling and attract foreign currency into the country`s cash-strapped treasury. Reflecting investor sentiment, holdings of the world`s largest gold-backed exchange-traded fund SPDR Gold Trust , fell 0.5% to 882.12 tonnes on Thursday.
Elsewhere, palladium gained 0.4% to $2,114.94 an ounce, having hit a record peak of $2,149.50 in the previous session on supply woes. For the week, the metal was set to register its best week since mid-June. Silver was flat at $17.89 per ounce, and was on track to post its worst week in five, while platinum inched up 0.2% to $968.41.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.