Gold prices moved higher on Thursday as the dollar slipped in the middle of the weeks-long federal government shutdown and growing expectations that the U.S. Federal Reserve will pause its rate tightening up cycle this year.
Likewise, trade talk hopes faded as 3 days of trade negotiations between mid-level American and Chinese authorities ended in Beijing without significant advancements.
Area gold rose 0.32 percent to $1,293.37 per ounce while U.S. gold futures were up 0.15 percent at 1,293.95 per ounce.
Investors fear that the U.S. government shutdown, now in its 20th day, could have both brief- and long-lasting effects on the economy.
President Donald Trump walked out of talks on Wednesday over financing for a border wall with Mexico and resuming the government, calling the talks with Democratic congressional leaders “an overall waste of time”.
Minutes from the most recent Fed conference released on Wednesday revealed a dovish method to rate hikes this year as the economy reveals signs of weakening.
The material has been provided by InstaForex Company – www.instaforex.com