Quick Update on Trade Conflicts & Its Impact on Gold
Arslan Butt • 1 min read
Today during the Asian session, gold trimmed lower, with prices falling below the psychological level of $1,200. Fellas, this bearish trend in gold is coming in response to the dollar which is rising on the back of worries about escalating global trade tensions.
Two things to know about trade tensions:
- President Trump is looking to impose tariffs on $200 billion of Chinese products, up from $60 billion.
- On Saturday, Trump said that there was no need to keep Canada in the North American Free Trade Agreement (NAFTA) and warned Congress not to interfere with the trade negotiations.
Consequently, investors seem to move their investments into the dollar, making gold weaker against it.