Yahoo Finance Gold Holds Steady As Trump Warns China on Trade Deal
Investing.com – President Donald Trump is warning China to sign on the dotted line by Dec. 15 and the gold market is listening more than ever.
As hedge to the world’s financial and political woes, the yellow metal has been recovering from last week’s battering on suggestions over the past two days that China may not come to the table on a trade deal with the White House, as it tries to wait out Trump’s impeachment inquiry proceedings in the U.S. Congress.
Gold futures for December delivery on New York’s COMEX settled Tuesday’s New York session up $2.40, or 0.2%, at $1,474.30.
Spot gold, which tracks live trades in bullion, was up $2.35, or 0.2%, at $1,473.10 by 2:53 PM ET (19:53 GMT).
Last week, gold struck three-month lows under $1,450 amid the cacophony of a trade deal happening soon.
Trump, speaking after a cabinet meeting of his administration, threatened to put more punitive duties on Chinese goods by Dec. 15 unless the phase one of a U.S.-China deal was inked, CNBC reported.
Sentiment on the phase one deal had soured after China reportedly wanted the U.S. to roll back previously imposed tariffs before it ratifies the terms of the deal.
There have also been reports about China's unwillingness to agree to a sizable purchase of U.S. agriculture goods every year as demanded by Washington. Trump previously suggested that Beijing was alright in purchasing $50 billion worth of agricultural goods annually.
On Monday, there was talk that Beijing might drag its feet over a deal to try and gauge Trump’s political fortunes from the impeachment proceedings hanging over his head.
The stock market seems to have gotten used to Trump’s trade threats, though, with shares mostly up on Tuesday after his latest ultimatum to China.
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