Opinion with Peter Hug
Gold Bounces As U.S.-China Trade Talks On The Table
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
(Kitco News) - Gold continues to find buyers on expectations that this week’s meeting with China on trade issues will ratchet back the escalation of a full-blown trade war. The currency crisis in Turkey also has seen some calming in rhetoric. As a result, the dollar has lost some ground as the safe-haven play and benefitted the commodity space. Traders are also watching for the developments in the Chinese trade talks. Further deterioration may put the Fed on hold and Fed Chair Powell’s comments at Jackson Hole, Wyoming on Friday will be closely monitored to see what if any concerns the Fed may have, should the trade talks break down. This week, watching the twitter world will be important because anything the President says in relation to China trade will create volatility. We have our first resistance level of $1,182 behind us. Watch the $1,187 area for a break to the $1,200 test, should China and the U.S. begin to show signs of civility towards trade policy.