Gold rose as investors sought havens after the U.S. raised tariffs on Chinese goods, and data pointed to further weakness in China’s economy.
President Donald Trump’s levies on $110 billion of imports from China came into effect Sunday, raising the stakes in the prolonged trade spat between the world’s top two economies. China’s factory activity deteriorated further in August, adding to simmering macro and geopolitical risks that pumped gold to a six-year high in August.
Spot bullion rose 0.5% to $1,527.35 by 9:07am Shanghai time, extending a 7.5% gain over August for its fourth monthly advance.
Other precious metals have also firmed, with silver posting its best month in more than three years in August. It’s down 0.5% today. Platinum’s up 0.5% to head for its highest since April last year.