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PRECIOUS-Gold edges lower as economies open up

Published 06/02/2020, 09:48 AM
Updated 06/02/2020, 09:50 AM
© Reuters.
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June 2 (Reuters) - Gold prices inched lower on Tuesday on
signs of economic recovery as more countries ease lockdown
curbs, while protests in the United States, Sino-U.S. tensions
and a weaker dollar limited losses.

FUNDAMENTALS
* Spot gold XAU= was down 0.1% at $1,738.12 per ounce, as
of 0110 GMT. U.S. gold futures GCv1 rose 0.2% to $1,753.70.
* In a sign that the worst of the economic downturn from the
coronavirus pandemic might be over, U.S. manufacturing activity
ticked up slightly from a 11-year low. * China's factory activity unexpectedly returned to growth
in May as restrictions eased, but the improvement was marginal
as export orders continued to shrink, a survey showed.
* U.S. President Donald Trump vowed to end unrest in major
cities across the nation "now," and stated he would deploy the
military if state governors refused to call out the National
Guard. * The protests started over the death of George Floyd, a
46-year-old African American, who died in police custody; and
the closely packed crowds have sparked fears of a resurgence of
COVID-19, which has killed more than 104,000 Americans.
* The U.S. is considering welcoming people from Hong Kong in
response to Beijing's push to impose a national security
legislation in the city, U.S. Secretary of State Mike Pompeo
said. * The dollar .DXY hovered near an over two-month low
reached on Friday. USD/
* Gilead's GILD.O antiviral drug remdesivir provided a
modest benefit in patients with moderate COVID-19 given a
five-day course of the treatment, while those who received a
10-day course did not fare as well. * Reflecting investor sentiment, SPDR Gold Trust GLD , the
world's largest gold-backed exchange-traded fund, said its
holdings, rose 0.5% to 1,128.40 tonnes on Monday. GOL/ETF
* Palladium XPD= rose 0.2% to $1,964.87 per ounce, and
platinum XPT= was up 0.3% to $850.19, while silver fell 0.5%
to $18.17.

DATA/EVENTS (GMT)
0430 Australia RBA Cash Rate June
0600 UK Nationwide House Prices MM, YY May

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