Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Gold Dips Ahead of Trump’s Moves on Iran, China

Published 16/07/2019, 20:06
Updated 16/07/2019, 20:19
© Reuters.

© Reuters.

By Barani Krishnan

Investing.com - The U.S. appears ready to negotiate with Iran while walking away from talks with China. How these developments factor for gold will be clear in coming days. But for now, prices of the yellow metal are taking a dip.

Spot gold, reflective of trades in bullion, traded at $1,405.65 per ounce by 2:24 PM ET (18:24 GMT), down $8.36, or 0.6%, on the day.

Gold futures for August delivery, traded on the Comex division of the New York Mercantile Exchange, settled down $2.30, or 0.2%, at $1,411.20.

U.S. Secretary of State Mike Pompeo claimed that "for the first time" on Tuesday Iranian officials "are ready to negotiate on their missile program" after President Donald Trump apparently told a cabinet meeting that his administration had made progress with Tehran and did not wish war or regime change there.

Trump, meanwhile, said the United States has a long way to go to conclude a trade deal with China, but could impose tariffs on an additional $325 billion worth of Chinese goods if needed.

Speaking at a Cabinet meeting at the White House, the president said China was supposed to be buying U.S. farm products and his administration was watching to see if Beijing would do so.

Gold prices also turned lower on Tuesday after a strong retail sales reading sparked buying interest in the U.S. dollar and pushed Treasury yields higher. Retail sales gained 0.4% in June, outpacing consensus forecasts for a meager 0.1% advance.

A later flat reading of U.S. industrial production in June, missing even the forecast for weak growth of 0.1%, briefly pulled gold back from intraday lows in a short-lived recovery.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.