Gold Prices Retreat Amid Report Trump May Exempt Canada, Mexico From Tariffs

Investing.com – Gold prices fell sharply as a stronger-than-expected private sector jobs data and somewhat reconciliatory comments from the White House suggesting that Trump may exempt Canada, Mexico from tariffs offset safe-haven demand.

for April delivery on the Comex division of the New York Mercantile Exchange fell by $10.00, or 0.74%, to $1,325.30 a troy ounce.

The White House said that President Donald Trump may exempt Canada, Mexico from tariffs, easing days of investor fears over the prospect of a global trade war.

“We expect that the President will sign something by the end of the week. And there are potential carve-outs for Mexico and Canada based on national security and possibly other countries as well based on that process,” said Press Sec. Sanders Wednesday, when asked if countries will be able to get exemptions from tariffs, CNBC reported.

That eased safe-haven demand, denting appetite for safe-haven gold which had earlier hit one-month highs on political uncertainty in Washington after economic advisor.

A rise in the dollar also weighed on gold prices after an economic report showed the private sector labor market remained robust, raising the prospect of above-forecast nonfarm payrolls data due Friday.

grew by 235,000 in February, according to a report released Wednesday by ADP and Moody’s Analytics. That beat economists’ forecast of 195,000, and raised investor expectations for a bullish nonfarm payrolls print due Friday as ADP data often serves as precursor to nonfarm payrolls.

Gold is sensitive to moves higher in the U.S. dollar – a stronger dollar makes gold more expensive for holders of foreign currency, thus, reduces investor demand for the precious metal.

In other precious metal trade, fell 1.87% to $16.47 a troy ounce, while lost 1.78% to $953.80 an ounce.

fell 0.76% to $3.14, while added 1.16% to $2.78.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.