Gold held near the highest level in more than three months as investors weighed concerns over the prospects of an expanding trade war after discussions between the Trump administration and Mexican officials on tariffs ended Wednesday without agreement.
Spot gold -0.1% to $1,329.24/oz by 8:46am in Singapore. Prices touched $1,344.16 on Wednesday, highest since Feb. 20. Bloomberg Dollar Spot Index +0.1%.
Bullion has also been buoyed as the steepening U.S. yield curve shows bond traders have concluded that the case for Federal Reserve rate cuts is only strengthening, even as top policy makers signal they’re not yet ready to act. Lower rates generally boost the appeal of the precious metal, which doesn’t pay interest.
Source : Bloomberg