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Gold declines on dismal US data
On Thursday, gold inched down and then recovered because downbeat American economic data compensated optimism over trade negotiations between America and China.
Early risk-on sentiment faded away after dismal American retail sales along with inflation data increased the likelihood of the major US bank holding rates on hold for all of this year.
On the Comex exchange, April delivery gold futures went down by 0.11% reaching $1,313.65 a troy ounce. Gold rapidly gained buyers under the $1,310 for the third time in a week.
Earlier risk appetite had been on the rise, to the detriment of the yellow metal, underpinned by soaring hopes of a breakthrough in the trade clash between China and America. Treasury Secretary Steven Mnuchin along with Trade Representative Robert Lighthizer came to Beijing for two days to take part in high-level trade talks.
On Wednesday, American leader told that the negotiations with China were going along perfectly because the both sides are trying to tackle the tariff conflict ahead of a March 1 deadline, when American duties on $200 billion worth of imports from this Asian country are expected to head north from 10% to 25%.
Later Bloomberg came up with news that American leader is actually considering a 60-day extension to that deadline if he notes enough progress being made. The given news creates an impression that the trade war is soothing.
As for other metals, silver futures headed south by 0.96% being worth $15.502 a troy ounce.
Palladium futures managed to ascend by up to 0.51% coming up with an outcome of $1,379.65 an ounce. Besides this, platinum futures slipped by about 1.01% being worth $783.80.
As for copper futures, they managed to tack on by up to 0.72% trading at $2.793 a pound.
The market sentiment deteriorated because of the election uncertainty and worries about rising virus cases all over the world. Let's make some analysis!
The focus of traders’ attention shifted from Brexit and the US stimulus to the coronavirus . The WHO claimed that Europe become the new Covid-19 epicenter.
Canada will publish the monthly GDP growth on October 30 at 14:30 MT time.