Gold recovers after the sharpest one-day drop this year, as traders analyze mixed signals from the US regarding plans for tariffs on China, UNN reports, citing Bloomberg.
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Gold rose to $3,330 an ounce after falling 2.7% on Wednesday, the biggest drop since November. Among the latest signals from Washington, US Treasury Secretary Scott Bessent questioned the timely resolution of the US-China trade war. This was followed by conciliatory remarks from US President Donald Trump, the publication writes.
"The temporary respite from Trump has run out of steam," said Priyanka Sachdeva, an analyst at Singapore-based Philip Nova Pte. "Investors who missed the buying slump in early April triggered the rise today."
Gold has shown volatile dynamics this week, initially reaching a record high above $3,500 an ounce on Tuesday, before recording a two-day decline.
Gold prices rose above $3,500 for the first time22.04.25, 18:11
The initial growth was driven by Trump's tough stance on China, as well as statements criticizing the US Federal Reserve. The reversal followed the US President's reversal.
The turmoil in the market shook trading in China. Precious metal futures in Shanghai showed the biggest intraday drop since 2013 on Wednesday. In addition, trading volumes rose to a record level.
Gold traded 1.1% higher at $3,329.16 an ounce at 11:47 am in Singapore, after rising as much as 2.4% earlier in the session. The Bloomberg Dollar Spot Index edged down. Silver and platinum fell in price, while palladium was little changed.