ZEE Business
ZEE BUSINESS
हिंदी में पढ़ें  हिंदी में पढ़ें
Live TV
Live TV
  • Home
  • Personal Finance
    • PPF
    • Mutual Funds
    • Income tax
    • EPFO
    • Income Tax Calculator
    • Personal Loan Calculator
    • Car Loan Calculator
    • Home Loan Calculator
    • SIP calculator
    • SWP Calculator
    • MF Returns Calculator
    • Lumpsum Calculator
  • India
    • Companies
    • Property
    • Startups
    • Uidai
  • Economy
    • Aviation
  • Tech
    • Mobiles
    • Apps
  • Auto
    • Cars
    • Bikes
  • Markets
    • Commodities
    • Currency
  • Railways
  • World
    • Economy
    • Politics
    • Markets
  • Survey
  • videos
  • photos
  • More ...
    • VIDEOS
    • PHOTOS
BREAKING NEWS
  • Foreign portfolio investors' exodus continues for 9th month; withdraw Rs 50,203 cr from equity market in June - know reasons
  • Windfall tax to recoup most of Rs 1 lakh cr revenue lost in excise cuts, industry sources say
  • D-Mart Q1 revenue jumps almost 2-fold to Rs 9,806.89 cr
  • This Android malware switches off Wi-Fi and drain mobile wallet
  • North Korea says US, South Korea-Japan agreement materialises US plan for 'Asian NATO'
Read in App
Business News » World News

Gold prices jump to over three-month peak as trade fears spur safe-haven buying

Gold climbed more than 1.5% on Monday to its highest level in more than three months on concerns that U.S.-Chinese trade tensions and Washington`s threat of tariffs on Mexico would hurt the global economy.

  • Twitter
  • Facebook
  • Linkedin
  • whatapp
  • View in App
Gold prices jump to over three-month peak as trade fears spur safe-haven buying
Spot gold climbed 1.4% to $1,323.62 per ounce by 2:26 p.m. EDT (1826 GMT), after rising as much as 1.6% to its highest price since Feb. 28 at $1,325.72. Image source: Reuters

Gold climbed more than 1.5% on Monday to its highest level in more than three months on concerns that U.S.-Chinese trade tensions and Washington`s threat of tariffs on Mexico would hurt the global economy. Spot gold climbed 1.4% to $1,323.62 per ounce by 2:26 p.m. EDT (1826 GMT), after rising as much as 1.6% to its highest price since Feb. 28 at $1,325.72. U.S. gold futures settled up 1.28% at $1,327.90 an ounce.

"There are concerns still surrounding the trade wars, whether it be surrounding the tariffs with Mexico or the tariffs with China. There is a `flight to safety` buying going into metals," said Bob Haberkorn, senior market strategist at RJO Futures. Relations between the United States and China got another jolt when the two nations clashed again at the Shangri-La Dialogue in Singapore on Sunday.

Mexican Foreign Minister Marcelo Ebrard said U.S. President Donald Trump`s threat of punitive tariffs on Mexico would be devastating and would not stop waves of Central American migrants from crossing the southern U.S. border. Equity markets bore the brunt of the two-pronged tariff threat from the United States, while safe-haven assets such as the Swiss franc and gold have been hefty beneficiaries. 

Adding to woes, factory activity contracted across Asia and Europe last month on fears of a global economic downturn. Furthermore, U.S. manufacturing growth slowed further in May to its weakest pace in more than two-and-a-half years, a national purchasing managers` survey showed on Monday.

Expectations of potentially lower interest rates in the United States, a relatively lower dollar and the volatility in equity markets are moving capital into gold and other precious metals broadly, said Bart Melek, head of commodity strategies at TD Securities in Toronto.  Signifying an uptick in investor sentiment toward bullion, speculators increased their net long positions in COMEX gold in the week to May 28, data showed.

Holdings of SPDR Gold Trust, the world`s largest gold-backed exchange-traded fund, rose 0.3% to 743.21 tonnes on Friday.  Silver rose 1.5% to $14.79 per ounce. The metal touched a more than two-week high of $14.80 earlier in the session. Palladium fell 0.3% to $1,321.51 per ounce, while platinum jumped over 4 percent to $824.75 per ounce, a two-week high. The metal was on track for its best daily gain since early January 2017.

"On the one hand we have fears that the U.S.-China trade dispute will continue to follow not a friendly trajectory and potentially we could see slower growth which could mean less industrial demand," Melek added. "So palladium has been trading lower while platinum has been trading higher along with gold. Gold, platinum and silver tend to be much more of a safe haven than palladium, traditionally." 

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.

TAGS:
gold
Written By: Reuters
Updated: Tue, Jun 04, 2019
07:40 am
Reuters
RELATED NEWS
Gold Price Today: Investors with short term view must book profits now; import duty hike, rupee weakness may arrest price correction, temporarily Gold Price Today: Investors with short term view must book profits now; import duty hike, rupee weakness may arrest price correction, temporarily
Gold Price Today: Weaker Rupee to hold yellow metal slide domestically, amid strengthening Dollar; analyst suggests strategy Gold Price Today: Weaker Rupee to hold yellow metal slide domestically, amid strengthening Dollar; analyst suggests strategy
Gold investment strategy: Picking right instrument is the key, says this expert; this is what he suggests Gold investment strategy: Picking right instrument is the key, says this expert; this is what he suggests
Sovereign Gold Bonds: Last day to subscribe SGB Series 1; issue price at Rs 5,091 per gram, Rs 50 discount for online applicants Sovereign Gold Bonds: Last day to subscribe SGB Series 1; issue price at Rs 5,091 per gram, Rs 50 discount for online applicants
Gold Price Today: From intraday trading strategy in MCX Gold, Silver futures to outlook, here is all you need to know Gold Price Today: From intraday trading strategy in MCX Gold, Silver futures to outlook, here is all you need to know

LATEST NEWS

Electricity distribution companies' outstanding dues to power producers rise 4% to Rs 1.32 lakh cr in June - know details here

Rakesh Jhunjhunwala Stocks: Agrochemical firm Rallis India shares may surge by 23% despite pressure on margins – Here’s why?

Foreign portfolio investors' exodus continues for 9th month; withdraw Rs 50,203 cr from equity market in June - know reasons here

Tracxn in wait-and-watch mode over timing of proposed public offer amid choppy market

Windfall tax to recoup most of Rs 1 lakh cr revenue lost in excise cuts, industry sources say

Three of top 10 BSE-listed companies lose Rs 73,630 cr in market capitalisation; HUL, ICICI Bank among biggest drag

Commerce Minister looking to release new foreign trade policy before September, says official

North Korea says US, South Korea-Japan agreement materialises US plan for 'Asian NATO'

Maruti Suzuki looks to deploy strong hybrid tech across model range

D-Mart Q1 revenue jumps almost 2-fold to Rs 9,806.89 cr

  • India News
  • World News
  • Companies News
  • Market News
  • Personal Finance News
  • Technology News
  • Automobile News
  • Small Business News
  • Income Tax Calculator
  • Live TV
  • Videos
  • Photos
  • Author
  • Rss Feed
  • Advertise with us
  • Privacy Policy
  • Legal Disclaimer

Latest Trending Updates

  • EPFO
  • Budget 2020
  • Income Tax Return
  • Auto Expo 2020
  • Home Loan
  • Business News

Trending Topics

  • Income Tax
  • income Tax Calculator
  • 7th Pay Commission
  • Reserve Bank of India
  • GST
  • Latest Business News

Follow us on

zeebiz
zeebiz

Partner Sites

  • Zee News
  • Hindi News
  • Marathi News
  • Bengali News
  • Tamil News
  • Malayalam News
  • Gujarati News
  • Telugu News
  • Kannada News
  • DNA
  • WION
© 2022. India Dot Com Private Limited. All Rights Reserved.
LIVE TV