WTI Crude Oil Set For Second Consecutive Weekly Gain

Gold Weakens as Economies Look to Reopen, Risk Sentiment Improves

Posted Friday, May 8, 2020 by
Arslan Butt • 1 min read

Gold prices are trading weaker early on Friday, as the safe haven appeal of the precious metal dips with markets focused on countries easing restrictions and restarting economic activity. At the time of writing, GOLD is trading at a little above $1,715.

Weak economic data, especially the larger than expected rise in weekly jobless claims in the US, had sent gold 2% higher during the previous session. The yellow metal also received a boost as fears about the extent of economic fallout from the pandemic and the pace of recovery weighed on markets.

So far this week, gold is set to post a 0.9% gain for the week. The yellow metal is likely to experience sharp moves later in the day following the release of the NFP report for the month of April, which will provide a better look into the impact of the pandemic on US employment.

Gold is also expected to remain in favor as markets focus on US-China trade relations once again. According to a recent report on Bloomberg, the two world leaders are set to restart discussions on the progress of implementing the phase one trade deal sometime next week.

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