Gold Slides as Dollar Climbs on Trump’s Trade Framework With UK
Gold slipped as the dollar extended gains after President Donald Trump announced a trade framework with the UK, sapping haven demand stemming from concerns over a global trade war.
Trump said full details of the pact would still be negotiated over the coming weeks. But under the agreement, the UK would fast-track American goods through their customs process and reduce barriers on agricultural, chemical, energy and industrial exports.
Gold is set for two straight days of declines amid easing trade tensions. Trump said he believed trade negotiations launching this weekend with China would result in tangible progress. He added that he could consider lowering the 145% tariff he has imposed on many Chinese goods if talks went well.
The deal with Britain is the first Trump made since imposing high tariffs on dozens of US trading partners.
US equities jumped to session highs after Trump urged investors to “go out and buy stock now,” while bullion slipped by as much as 1.8% as demand for the haven asset faded.
Spot gold fell 1.6% to $3,310.55 an ounce as of 12:41 p.m. in New York. The Bloomberg Dollar Spot Index was up 0.6%. Silver was little changed, while platinum and palladium advanced.
Source: Bloomberg
