Gold Slips on US-China Trade Optimism
Gold slipped over 1% to below $3,280 on Monday, hitting a one-week low, as optimism over US-China trade talks dampened demand for safe-haven assets.
Officials from both countries concluded talks over the weekend, signaling a positive outcome, with Beijing announcing plans to launch formal negotiations and Washington highlighting progress toward a deal. Treasury Secretary Scott Bessent also said he would provide more details in a full briefing on Monday.
On the geopolitical front, the India-Pakistan ceasefire held overnight into Sunday, despite mutual accusations of violations shortly after the agreement. Meanwhile, the non-yielding metal faced further pressure after the Federal Reserve warned last week of rising inflation and labor market risks, with Chair Powell ruling out a preemptive rate cut in response to tariff-related concerns.
Source: Trading Economics