Precious Metals Preview: Gold Falls After Modest Recovery

COMEX Gold continues to stay under pressure on rising equities and worries over Indian demand. The metal has dropped under the key $ 1300 per ounce levels and tested a five month low near $ 1280 yesterday. COMEX Gold is currently trading at $ 1289 per ounce, down 0.15% on the day as moderate rallies are falling to hold on. MCX Gold futures closed around Rs 31100 per 10 grams yesterday- witnessing an intraday recovery but should slip in early moves today.

The US has suspended its plan to impose heavy tariffs on China following the latest trade talks. Steven Mnuchin, the US Treasury secretary, said that the two countries had made progress as they concluded three days of intense trade negotiations in Washington late last week. The planned tariffs on as much as $ 150 billion worth of Chinese goods are off the table while the talks proceed, he said, according to media reports. US shares rose as investors welcomed this and the DOW surged nearly 300 points.