The Classy Investors

  /  Top News   /  Gold Down in Asia as Dollar Rises

Gold Down in Asia as Dollar Rises

imageCommodities10 hours ago (Aug 11, 2020 12:34AM ET)

(C) Reuters.

By Bryan Wong – Gold was down on Tuesday morning in Asia over a recovering dollar and expectations of a nearing U.S. stimulus. But worsening Sino-U.S. relations, as well as ever-rising number of COVID-19 cases, capped losses for the yellow metal.

Gold futures dropped by 0.51% to $2,020 by 12:32 AM ET (5:32 AM GMT).

The dollar was up on Tuesday, with the U.S. Congress looking to restart negotiations on a COVID-19 deal. U.S. President Donald Trump also tweeted that top congressional Democrats wanted to meet with him on COVID-19 related economic relief.

Investors will be seeing whether the Republicans and the Democrats will now be able to reach a consensus on the latest stimulus measures.

Signs of economic recovery were also seen in Asia. China’s consumer price index (CPI) rose 2.7% while its producer price index (PPI) also fell 2.4% in July from a year earlier, according to data from the National Bureau of Statistics released Monday.

Meanwhile, tensions between China and the U.S. continue to simmer after China imposed sanctions on 11 Americans on Monday, in response to the U.S.’ move on Friday sanctioning 11 Chinese officials and their allies in Hong Kong, including Hong Kong’s Chief Executive Carrie Lam.

COVID-19 cases also reached a grim milestone, with over 20 million cases reported as of August 11, according to Johns Hopkins University data. But New York, California and Texas reported falling numbers of hospitalizations.

Gold Down in Asia as Dollar Rises

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.