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PRECIOUS-Gold inches lower on trade deal hopes, firmer dollar

Published 11/25/2019, 09:22 AM
Updated 11/25/2019, 09:24 AM
PRECIOUS-Gold inches lower on trade deal hopes, firmer dollar
XAU/USD
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XAG/USD
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GC
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SI
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XPD/USD
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Nov 25 (Reuters) - Gold prices touched their lowest in a
week on Monday as positive developments towards an interim trade
deal between the United States and China lifted demand for
riskier assets and boosted the dollar.

FUNDAMENTALS
* Spot gold XAU= was down 0.1% at $1,461.02 per ounce by
0058 GMT, having fallen to its lowest since Nov. 18 earlier in
the session. U.S. gold futures GCv1 inched 0.2% lower to
$1,460.60.
* Asian shares made guarded gains as investors braced for
another week of likely conflicting commentary on the trade
dispute, while the outperformance of recent U.S. economic data
gave the dollar a leg up on its peers. MKTS/GLOB USD/
* The leaders of the United States and China on Friday both
underscored their desire to sign an initial trade deal.
* U.S. national security adviser Robert O'Brien said on
Saturday that a phase 1 trade agreement with China is still
possible by the end of the year, while warning that President
Donald Trump would not turn a blind eye to what happens in Hong
Kong. * However, an ambitious "phase two" trade is looking less
likely as the two countries struggle to strike a preliminary
"phase one" agreement, according to U.S. and Beijing officials,
lawmakers and trade experts. * U.S. manufacturing output accelerated in November to its
fastest pace in seven months and services activity also picked
up more than expected, a survey of purchasing managers showed on
Friday. * Pro-democracy candidates in Hong Kong romped to a symbolic
majority in district council elections after residents turned
out in record numbers to vote following six months of
anti-government protests. * Hedge funds and money managers increased their bullish
positions in COMEX gold and silver contracts in the week to Nov.
19, data showed. CFTC/
* Physical gold demand remained subdued in China last week
against a backdrop of slowing economic growth, and in Hong Kong
where protests continued, while prices in India flipped into
discount as demand eased. GOL/AS
* Silver XAG= shed 0.3% to $16.95 per ounce, palladium
XPD= rose 0.2% to $1,778.77 per ounce and platinum XPT= was
up 0.1%, to $891.90.

DATA/EVENTS (GMT)
0900 Germany Ifo Business Climate New Nov
0900 Germany Ifo Curr Conditions New Nov
0900 Germany Ifo Expectations New Nov

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