GOLD prices inched higher on Thursday (Feb 6) to hover near an all-time high hit in the last session, as Sino-US tariff war concerns boosted safe-haven demand, while investors awaited the payrolls data for clues about the health of the world’s largest economy.
Spot gold was up 0.1 per cent at US$2,867.79 per ounce, as at 0032 GMT. Bullion hit a record high of US$2,882.16 in the previous session.
US gold futures shed 0.2 per cent to US$2,887.10.
Earlier this week, China imposed duties on US goods in response to new US tariffs, escalating the trade war between the two countries. US President Donald Trump expressed no urgency in speaking with Chinese President Xi Jinping to alleviate the tensions.
Meanwhile, the US Postal Service said it would resume accepting all inbound mail and packages from China and Hong Kong on Wednesday, a day after temporarily suspending such service.
Federal Reserve officials pointed to the large policy uncertainty around tariffs and other issues arising from the early days of Trump’s administration as among the top challenges in figuring out where to take US monetary policy in the months ahead.
BT in your inbox
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
Gold is considered a safe investment during economic and geopolitical turmoil, but higher interest rates reduce the non-yielding asset’s appeal.
The ADP National Employment report showed the US economy added 183,000 jobs in the private sector last month, compared with economists’ estimate of a rise of 150,000.
The US employment report, due on Friday, is expected to offer more insights into the economy’s overall strength.
Spot silver added 0.1 per cent to US$32.35 per ounce, platinum edged 0.2 per cent higher to US$981.81, and palladium gained 0.1 per cent to US$990.66. REUTERS
