On Wednesday, May 14, gold fell in price, as the de-escalation of trade tensions between the US and China reduced demand for safe assets. This was reported by Reuters, reports UNN.
Details
Spot gold fell 0.5% to $3,231.10 per ounce as of 06:43 GMT. US gold futures fell 0.4% to $3,235.30.
Experts predict: if there is further progress in trade negotiations and agreements between the US and its trading partners, gold may fall even further.
$3,200 is a fairly critical level of support
Let's remind
On Tuesday, May 13, gold prices stabilized in Asian trading after the de-escalation of tariffs between the US and China, which increased risk appetite and caused a sharp drop in the value of the precious metal.
However, any significant recovery in gold prices was restrained by the strengthening of the dollar, which jumped sharply amid news of a trade agreement between the US and China.
Also, UNN reported that the US and China agreed to temporarily reduce tariffs on each other's goods for 90 days. This was done to ease trade tensions and allow time to resolve disputes.