Investing.com – Gold prices slipped for two consecutive days as dollar slightly rose on Wednesday ahead of a meeting between and U.S. and European Commission presidents for trade-related talks.
for August delivery on the Comex division of the New York Mercantile Exchangeis was down 0.11% to a trading price of $1,224.10 each troy ounce at 1:00AM ET (05:00 GMT).
“It is extremely quiet and everyone is staying on the sidelines… I think the market is still waiting for information on the trade war,” said Dick Poon, general manager, Heraeus Metals Hong Kong Ltd.
Meanwhile, the futures for September delivery rose 0.02% to $94.41 on Wednesday, while the Japanese yen depreciates at 111.29 per dollar as the pair rose 0.09%.
U.S. President Donald Trump and European Commission President Jean-Claude Juncker are due to meet in Washington for trade-focused talks on Wednesday.
“If there is a further escalation of the trade issue, that could potentially hurt the risk sentiment and put pressures on the dollar/yen,” said Shinichiro Kadota, senior FX & rates strategist at Barclays.
Gold usually moves in the opposite direction with the U.S. dollar, because gold priced in U.S. dollars would be more expensive for foreign investors when the greenback rises, making the yellow metal less attractive.
Looking ahead, investors are also awaiting the second-quarter U.S. economic growth data which is due on Friday, where they expect growth to top current forecasts of 4.1%.
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Source: Investing.com
