Gold prices steady as US-China trade talks unfold in London
Gold prices remained steady on Tuesday as investors monitored ongoing U.S.-China trade discussions in London aimed at easing a trade dispute between the world's two top economies.
FUNDAMENTALS
* Spot gold edged down 0.2% to $3,322.07 an ounce, as of 0032 GMT. U.S. gold futures fell 0.4% to $3,341.90.
* High-level trade talks between the U.S. and Chinese officials are extending
into a second day, with discussions encompassing issues ranging from tariffs to
rare earth restrictions. The dispute has
raised fears of supply chain disruptions and slower global economic growth.
* U.S. President Donald Trump said his administration was "doing well" in the negotiations and noted positive reports from the talks. Last month, both sides agreed to a temporary pause in tariffs,
offering some relief to financial markets.
* China's export growth slowed to a three-month low in May as U.S. tariffs slammed shipments, while factory-gate deflation deepened to its worst level in two years, heaping pressure on the world's
second-largest economy on both the domestic and external fronts.
* Meanwhile, Americans' anxiety about the future path of inflation eased in
May, as they also grew more upbeat about the state of their personal finances,
according to a report released on Monday by
* Investors are also awaiting U.S. inflation data on Wednesday that may adjust
expectations for the timing of any rate cuts by the Fed.
* Safe-haven gold becomes more attractive during periods of geopolitical and
economic uncertainty. It also tends to thrive in a low-interest rate
environment as it is a non-yielding asset.
* Elsewhere, spot silver was unchanged at $36.72 per ounce, platinum fell 0.1%
to $1,218.49, while palladium was up 0.2% to $1,076.22.