Gold Prices Slide as U.S. Dollar Rebounds
Gold prices slid on Tuesday in Asia, as the U.S dollar rebounded after falling for a fourth straight session. Gold futures for February delivery fell 0.5% to 1.283.502 by 12:50 AM ET (05:50 GMT) on the Comex exchange.
Fed Chairman Jerome Powell on Friday said the central bank would be more sensitive to downside risks in the market, adding that it was “prepared to shift the stance of policy” if needed.
Gold prices rose on Monday and were trading near $1,300 level following the news, before giving back some of its gains today.
On the other hand, U.S dollar index gained 0.3% to 96.495.
In other news, Philip Streible, senior market strategist for precious metals at RJO Futures in Chicago. said that “There’s optimism that the U.S. might reach a trade agreement with China in the next 24 to 48 hours.“ “That’s taken a little bit of gold’s momentum off, as we expect a bit of sector rotation into things like copper, soybeans, sugar and other commodities if that happens.”