This article was first published on Orbex Forex Trading Blog.
This content is synced from the rightful owners. Copyright on text and images belong to the original source.
The yellow metal was initially higher over the week on continuing market jitters ahead of a potential US-China trade deal. This combined with a weakened US dollar to help lift price.
Into the middle of the week, traders still had not been given great visibility over whether a trade deal was coming. The US administration warned China that, in case of a no-deal by December 15th, a new round of 15% tariffs would go live on $156 billion of Chinese products.
Over recent weeks, talks have seemingly stalled. And, despite reassurances from both sides, the market has been nervous over the prospect of fresh tariffs.
In light of recent efforts by the Chinese (removing some tariffs, increasing US agricultural purchases) there had been speculation that the US would postpone tariffs to allow talks to continue.
However, late in the week, gold was knocked lower. This came in response to reports that the sides had agreed on a phase-one trade deal “in principle.”
The deal is said to include ...
To keep reading this article, please navigate to: Orbex Forex Trading Blog.