Safe Haven Appeal of Gold Diminishes as US Official Raises Hopes for Trade Deal

Gold prices are declining as the risk appetite in markets was boosted by positive comments surrounding the US-China trade talks.

Written by: Arslan Butt • Friday, November 15, 2019 • 1 min read

• Last updated: Friday, November 15, 2019

Gold prices are declining as the risk appetite in markets was boosted by positive comments surrounding the US-China trade talks. At the time of writing, GOLD is trading at a little above $1,466.

Following positive discussions with China, White House Chief Economic Adviser stated that both sides were getting closer to signing a partial trade deal. This was the first positive comment in several days, especially after Trump raised the tariff threat a few days ago, so markets took it as a significant development and brought down the safe haven appeal of gold.

However, gold prices remain supported over the release of weak economic data from Europe. Although Germany has narrowly missed falling into recession in Q3, manufacturing still remains weak over global trade tensions and weakness in economic growth worldwide. Gold is also in favor as a result of ongoing tensions in Hong Kong where clashes have caused the death of one more person earlier today.

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ABOUT THE AUTHOR See More

Arslan Butt

Lead Markets Analyst – Multi-Asset (FX, Commodities, Crypto)

Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics. His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker. His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.