Quick overview

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Gold continued sinking in value as investors awaited the results of US trade talks, a Federal Reserve policy decision, and a series of key economic data. After dropping 0.7 percent on Monday as the dollar surged due to concerns that 15 percent duties on European exports could slow global growth, the price of gold was steady at $3,321 an ounce during Asian trading hours. For most buyers,

 

XAU/USD tends to cost more when the dollar is strong.

The bullion asset decreased in value as traders waited for a Federal Reserve policy announcement, the outcome of US trade negotiations, and a wave of important economic reports.

The yellow metal remained steady at $3,321 an ounce during Asian trading hours after falling 0.7 percent on Monday amid a dollar rally fueled by fears that 15 percent tariffs on European goods might impact global growth. For most buyers, gold becomes more expensive when the dollar is strong.

Trump’s assertive efforts to reshape global trade, along with conflicts in Ukraine and the Middle East, have created uncertainty and driven a flight to safety, causing gold to rise more than 25% this year. Though gold reached an all-time high of over $3,500 an ounce in April, it has been trading within a narrow range in recent months.