Gold headed for the first weekly gain in three as investors sought haven assets amid uncertainty surrounding the political situation in the U.K. and the U.S.-China trade war. Palladium slipped after surging to a record on Thursday.
Bullion for immediate delivery strengthened 0.1% to $1,214.43/oz at 7:55am in London; added 0.4% this week. Bloomberg Dollar Spot Index edged 0.1% lower. The yield on 10-year Treasuries at 3.11%.
British Prime Minister Theresa May is defying demands to quit as she battles to keep control of her fractious government long enough to deliver a Brexit deal. Meanwhile, traders are gauging whether China and the U.S. can deescalate their spat before the G-20 summit later this month.
The U.S. still plans to raise tariffs on Chinese imports in January with President Donald Trump and China’s Xi Jinping likely at best to agree to a “framework” for further talks to resolve trade tensions at an upcoming meeting, Commerce Secretary Wilbur Ross said.
Federal Reserve Chairman Jerome Powell has laid out a scenario for a pause in the central bank’s interest-rate hiking campaign sometime next year by highlighting potential headwinds to the U.S. economy.
North Korean leader Kim Jong Un oversaw the test of a new “advanced tactical” weapon, according to the state-run Korean Central News Agency.