Today's Edition
(REUTERS)
Gold prices rose on Monday, supported by a weaker US dollar ahead of US-China trade talks aimed at resolving tensions, while platinum extended gains for a sixth straight session to scale a four-year peak.
Spot gold rose 0.4% to $3,323.71 an ounce, as of 0806 GMT, after dropping earlier in the session to $3,293.29, its lowest level since June 2.
US gold futures was steady at $3,344.70.
The dollar (DXY), opens new tab fell 0.3% against a basket of peers, making bullion cheaper for holders of other currencies.
Investors recognise that key drivers of gold like trade and geopolitical tensions, debt concerns and weak economic growth, remain in place and should continue to support the metal in the months ahead, said Giovanni Staunovo, UBS analyst.
Top US and Chinese officials will sit down in London on Monday for talks aimed at defusing the high-stakes trade dispute between the two superpowers that has widened in recent weeks beyond tit-for-tat tariffs to export controls over goods and components critical to global supply chains.
Stronger-than-expected US non-farm payrolls data have led investors to scale back expectations for Federal Reserve rate cuts this year from two to only one in October.
Market attention now shifts to US CPI data, due on Wednesday for further clues on the Fed's monetary policy path.
Gold, traditionally considered a safe-haven asset during political and economic uncertainty, tends to thrive in a low-rate environment.
Meanwhile, China's central bank added gold to its reserves in May for the seventh straight month, official data showed.
Spot platinum rose 3% to $1,210.80, its highest level since May 2021.
Spot silver was up 1% to $36.3 per ounce, while palladium rose 2.3% to $1,070.97.
