Gold futures settled lower on Tuesday, extending losses to a fourth successive session, as increased risk appetite weighed on the safe-haven commodity.
Traders, looking for signs of progress in U.S.-China trade negotiations, largely made cautious moves.
The U.S. President Donald Trump said at The Economic Club of New York Tuesday afternoon that he will “substantially” raise tariffs on China if a deal between the U.S. and China isn’t reached.
Trump said a trade deal with China “could happen soon” although he did not provide details on the state of trade talks between the two countries. He however said that he would only accept an agreement that is good for U.S. companies and workers.
The dollar’s rise against major rivals contributed as well to gold’s decline.
The dollar index was flat at 98.21 this morning, but gained modest strength as the day progressed.
At 98.33, the dollar index was up 0.14, or 0.14%, from previous close.
Gold futures for December ended down $3.40, or about 0.2%, at $1,453.70 an ounce, after declining to a low of $1,446.20, the lowest level in more than 3 months.
On Monday, gold futures for December ended down $5.80, or 0.4%, at $1,457.10 an ounce.
Silver futures for December ended down $0.110, at $16.692 an ounce, while Copper futures for December settled at $2.6455 per pound, down $0.0185 from previous close.
Trump spoke mostly about the strength of the U.S. economy, crediting his policies cutting taxes and regulation for the strong growth seen in recent years.
Trump also hit out at the Federal Reserve and said the economy and the markets would be even stronger if the central bank would take his advice and slash interest rates further.
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