Gold held the biggest gain in more than four months on growing demand for havens amid the escalating U.S.-China trade war and the impact it's having on global growth, with bets building that the Federal Reserve will cut interest rates this year to contain the fallout.
St. Louis Fed President James Bullard said Monday a rate cut may be needed“soon to help re-center inflation and inflation expectations at target and also to provide some insurance in case of a sharper-than-expected slowdown.” A measure of U.S. manufacturing activity unexpectedly fell in May to the lowest level since October 2016.
Spot gold steady at $1,324.98/oz at 10:04am in Singapore
Price +1.5% on Monday, biggest gain at close since Jan. 25
Source : Bloomberg