Gold prices were recovered on Thursday from its lowest level in the month in which it reached the previous session, as the trade uncertainty caused by the advertisements of the new American customs duties led to an increase in the attractiveness of alloys, even with the decrease in the expectations of lowering US interest rates in September.
The instant gold price increased by 0.5 percent to $ 3292.24 an ounce, starting from 02:30 GMT. The alloys had recorded its lowest level since June 30 at 3267.79 dollars on Wednesday.
US gold futures decreased by 0.2 percent to $ 3287.
“The gold, whose price has decreased below 3300 dollars, has attracted interest in buying from traders, as a valuable investment, especially in light of the prevailing economic uncertainty, which coincides with Trump’s threats to impose secondary customs duties,” said Tim Water, chief market analyst at KCM Trade.
On Wednesday, US President Donald Trump released a series of customs advertisements, which ranged from changes to the previously imposed fees on copper and commodities from Brazil, and cancel the exemption from customs duties on small shipments from abroad. It announced an agreement with South Korea that includes the imposition of customs duties by 15 percent on imports from South Korea, stressing the continuation of negotiations with India after announcing the imposition of customs duties by 25 percent on Indian commodities as of Friday. He also expressed optimism about trade talks with China, pointing to his expectation to reach a fair agreement.
Meanwhile, the Federal Reserve Council kept the interest rates fixed on Wednesday, while the statements of its president, Jerome Powell, reduced the expectations of reducing interest rates in September. Gold, which is usually considered a safe haven during periods of economic uncertainty, tends to achieve good performance in the low interest rate environment.
“The support level around the $ 3250 region is a major level of protection from any sharp decline,” Waterwar said. But any penetration may open the door to a decrease to $ 3,200. ”
The lights will later on the data of the USS USA Personal Consumption Index, and are expected to rise by 0.3 percent on a monthly basis and 2.7 percent on an annual basis, according to a Reuters poll.
The instant silver price decreased by 0.3 percent to $ 37 an ounce, platinum increased by 0.6 percent to $ 1320.98, and palladium rose by 2.5 percent to $ 1234.77.
