Gold Under Pressure as Markets Hope for Trade Deal, Removal of More Tariffs

At the start of a brand new trading week, gold continues to trade weak as hopes for a trade deal between the US and China keep its safe..

Arslan Butt•Monday, November 11, 2019•1 min read

At the start of a brand new trading week, gold continues to trade weak as hopes for a trade deal between the US and China keep its safe haven appeal in check. At the time of writing, GOLD is trading at a little above $1,462.

The risk appetite is back in global financial markets on the back of promising comments from trade officials on both sides, with increased optimism for a rollback on additional tariffs as well. The tariff hikes imposed by the US and China had weighed heavily on economic growth not just in these two markets, but also had a fallout effect on other global markets, suppressing demand.

Gold lost around 3.2% of its value over the previous week, closing at around $,1461. This was the lowest level for the precious metal prices since November 2016.

Speaking about the trade war over the weekend, US President Donald Trump confirmed that negotiations were making progress but any deal signed will have to be ideal for the US. Trump expressed optimism that China was keen on finalizing the deal, but failed to sound positive about the prospects of removing more tariffs on Chinese goods.

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ABOUT THE AUTHOR See More

Arslan Butt

Index & Commodity Analyst

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.