Finance
Gold Value Inches Up As People Await The Closing Of The China-U.S Negotiation
Thursday recorded a tentatively higher edging of gold, ahead of the talk between U.S and China which had been set to gown in the midst of the day amid mixed signals over the prospects of the negotiations. As of 1204 GMT, spot gold was up to 0.1% at $1,506.96 per ounce, having hit a one-week peak of $1,516.77 in the session earlier.
U.S. gold was as low as 0.1% at $1,512.10. The senior vice president at precious metals trader MKS SA, Afshin Nabavi said there was an extremely nervous state in the gold market and everybody was really positive towards the price of gold, but at the same time everyone was looking for some kind of assurance or confirmation on the trade talks.
Recently presented data has shown an incredibly great weakening in global growth in the market as it has also been kept on edge by the ongoing negotiations between the United States and China. A recent report by the South China Morning Post indicated that the Chinese delegation was to exit Washington a day earlier than expected just after a minister-level meeting.
There are, however, reports which put forth the suggestion that the U.S government is possibly considering to lift the restrictions on Chinese technology giant Huawei. If by the 15th of December more negotiations will have broken out, nearly all goods which are imported from China, which are more than $500 billion worth, could be subjected to punitive tariffs.
As a result of this year’s low yield of gold of about $1,265.85 worth, mainly on the back of trade tensions and gloomy economic growth outlook, gold prices have risen by about 20%. Investors often use gold as a hedge against uncertainty in the political and financial domain.
