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PRECIOUS-Gold eases on firmer dollar, virus fears cap losses

Published 07/14/2020, 09:07 AM
Updated 07/14/2020, 09:10 AM
© Reuters.
XAU/USD
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July 14 (Reuters) - Gold slipped on Tuesday to trade below
the key $1,800 level due to a stronger dollar, though concerns
over surging coronavirus cases around the world and Sino-U.S.
tensions put a floor under bullion prices.

FUNDAMENTALS
* Spot gold XAU= was down 0.2% to $1,798.52 per ounce by
0042 GMT. U.S. gold futures GCv1 fell 0.7% to $1,802.20.
* The dollar index .DXY rose 0.1% against its rivals,
making gold more expensive for holders of other currencies.
USD/
* More than 13.02 million people have been reported to be
infected by the novel coronavirus globally and 569,336​ have
died, according to a Reuters tally. * California Governor Gavin Newsom ordered a massive
retrenchment of the state's reopening on Monday, shutting bars
and banning indoor restaurant dining statewide and closing
churches, gyms and hair salons in hardest-hit counties.
* Tensions also grew between the United States and China
over disputed claims to offshore resources throughout the South
China Sea, with U.S. officials saying China's claims were
"unlawful." * Gold is often used as a safe store of value during times
of political and financial uncertainty.
* SPDR Gold Trust GLD , the world's largest gold-backed
exchange-traded fund, said its holdings rose 0.3% to 1,203.97
tonnes on Monday. GOL/ETF
* Asian shares are showing a mixed picture on Tuesday after
a volatile day in U.S. equity markets amid persistent concerns
over the record number of new coronavirus cases worldwide and
signs of an economic rebound. MKTS/GLOB
* Palladium XPD= was steady at $1,979.42 per ounce, while
platinum XPT= rose 0.6% to $833.14. Silver XAG= edged 0.1%
lower to $19.07.

DATA/EVENTS (GMT)
0600 UK GDP Estimate MM, 3M/3M, YY May
1230 US CPI MM, SA June
-- China Exports, Imports YY June
Trade balance USD
Japan Bank of Japan holds Monetary Policy Meeting

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