Gold slips as easing trade tensions offset support from soft dollar
Risk sentiment lifted by progress in trade talks
Dollar at more than two-week low
Trump to visit Fed on Thursday
(Updates for Asia market close)
July 24 (Reuters) - Gold prices extended losses on Thursday, as easing trade tensions dampened demand for safe-haven assets, overshadowing support from a weaker dollar.
Spot gold was down 0.3% at $3,375.76 per ounce, as of 0644 GMT, after dropping 1.3% in the previous session. U.S. gold futures were down 0.5% at $3,381.20.
"Yesterday, gold prices were seen building up for the next bullish run until the news came out on trade front, triggering some profit-taking," said Brian Lan, managing director at GoldSilver Central, Singapore.
"We've seen the dollar has also weakened quite a bit, and of course, this also supports gold. So, I think this is a small retracement at this moment. We are, in fact, still quite bullish on gold."
Signalling progress on the tariff front, U.S. President Donald Trump struck a trade deal with Japan that lowers tariffs on auto imports.
The European Union and the United States are nearing an agreement that would impose 15% tariffs on European imports, while waiving duties on some items, according to officials from the European Commission.
Risk sentiment in the wider financial markets rose on the back of progress in trade talks and hopes that more deals could be in the offering.
Offering support to gold, the U.S. dollar index fell to a more than two-week low, making greenback-priced bullion less expensive for other currency holders.
Investors were also looking forward to a rate decision from the European Central Bank due later in the day.
The U.S. weekly jobless claims numbers due on Thursday and S&P Global's flash PMI data will be in focus to gauge economic health ahead of the Federal Reserve's monetary policy decision next week.
Trump, a critic of Federal Reserve Chair Jerome Powell, will visit the U.S. central bank later in the day, the White House said.
Spot silver slipped 0.4% to $39.13 per ounce, platinum eased 0.3% to $1,407.90 and palladium dropped 1% to $1,265.44.
(Reporting by Brijesh Patel in Bengaluru; Editing by Sherry Jacob-Phillips and Subhranshu Sahu)
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Economic Times
an hour ago
- Economic Times
Sam Altman throws humans under the bus, says OpenAI will wipe out entire job sectors — this one tops the list
What exactly did Sam Altman say about job loss? Live Events Is AI really ready to replace human workers? How are companies and consumers reacting? FAQs (You can now subscribe to our (You can now subscribe to our Economic Times WhatsApp channel is once again raising concerns, but this time they pertain to jobs. During a recent trip to Washington, Sam Altman made a bold prediction that artificial intelligence will likely replace entire categories of human labor, beginning with one specific comments come amid growing public concern about the unchecked rise of artificial intelligence in everyday industries. Altman's remarks raise fresh concerns about AI's economic Sam Altman predicts that AI will completely replace job sectors such asThe CEO of OpenAI is expressing widespread concerns that artificial intelligence could have disastrous consequences for the human labor market by threatening to eradicate entire job claims that because AI agents are faster and more efficient, many roles will be "totally gone." Critics warn that such automation could backfire, as customers still require human assistance."Some areas" of the labor market will be "just like totally, totally gone" as AI agents replace them, Altman told Michelle Bowman, the vice-chair for supervision at the Federal Reserve, during his most recent visit to Washington, DC, as per a report by service positions were noted by Altman as a "category where I just say, you know what, when you call customer support, you're on target and AI, and that's fine.""Now you call one of these things and AI answers," said the man. "It's like a really intelligent, strong individual. Both the phone tree and transfers are absent. It has all the capabilities of a customer service representative at that the remarks, the billionaire, who likely hasn't had to interact with a customer service representative over the phone in a long time, essentially dismissed human involvement.'It does not make mistakes," he added. "It's very quick. You call once, the thing just happens, it's done,' he said, as quoted in a report by debatable if OpenAI's technology truly approaches that objective. Critics claim that AI frequently substitutes an unreliable and vulnerable alternative for human are also pragmatic considerations: businesses that have tried to replace human labor with unproven AI have already received a great deal of negative this point, businesses are acknowledging that they are reversing their pledges to eliminate human Siemiatkowski, the CEO of the fintech company Klarna, changed his mind after boasting that an AI assistant could perform 700 jobs. He stated that "from a brand perspective, it's so critical that you are clear to your customer that there will always be a human if you want."According to a study conducted last year, most consumers oppose businesses using artificial intelligence (AI) for customer technology is causing chaos and frustration due to the obvious issues with the AI models that are currently available. For example, a customer discovered earlier this year that Cusor, an AI-powered software coding assistant, was inexplicably logging them were informed by an AI-powered customer service representative that it was "expected behavior" under a new login policy, but the glitchy AI later revealed that this was a is envisioning a future that has not yet been created and may or may not come to pass. He wants to see it, though, because he stands to gain a lot as the head of one of the most prosperous AI firms in the Altman says customer support roles are among the first to be wiped out by Altman believes AI will eventually outperform humans in speed, accuracy, and convenience, but critics aren't convinced.
Mint
an hour ago
- Mint
Trump secures trade deal with EU, slashes tariffs to 15%; lands $750 billion energy deal and $600 billion investment
The United States and the European Union have reached a last-minute trade agreement that will impose a 15% tariff on EU goods entering the US, replacing the previously threatened 30% rate. The deal, reached just ahead of the August 1 deadline, was announced by President Donald Trump and European Commission President Ursula von der Leyen after a high-stakes meeting at Trump's Turnberry golf resort in Scotland. 'It was a very interesting negotiation. I think it's going to be great for both parties,' Trump said. President Trump noted the long-standing friction in trade relations between the US and Europe, saying: "We've had a hard time with trade with Europe, a very hard time.' 'I think the main sticking point is fairness.' Under the deal, the US will impose a baseline 15% tariff on EU exports — the same level Japan recently agreed to — including autos, which were previously taxed at 25%. 'We are agreeing that the tariff straight across, for automobiles and everything else, will be a straight across tariff of 15 percent," Trump confirmed. As part of the agreement, the EU has committed to purchasing $750 billion worth of US energy and investing $600 billion more into the American economy. Trump called the outcome 'a good deal for everybody,' while von der Leyen added: 'It will bring stability. It will bring predictability. That's very important for our businesses on both sides of the Atlantic.' The agreement reportedly mirrors the recent .S-Japan deal announced earlier in the week, which also featured a 15% import duty and avoided previously threatened higher tariffs. US Commerce Secretary Howard Lutnick emphasised the urgency to push both sides to reach a consensus: 'No extensions, no more grace periods. August 1, the tariffs are set, they'll go into place, Customs will start collecting the money and off we go.' With EU trade deal sealed, six countries including — Britain, Vietnam, Indonesia, the Philippines, and Japan — have reached agreements with the Trump administration ahead of the upcoming Friday deadline, as the US moves to reshape the global free trade framework by imposing tariffs on nations it accuses of unfair trade practices. While the tariffs agreed upon by these countries are generally higher than the 10 percent base rate the US has applied to most nations since April, they remain significantly lower than the steep rates the Trump administration had threatened if no deals were secured.
India.com
2 hours ago
- India.com
No Entry For GM Crops, Says New Delhi; India-US Trade Talks Hit A Sacred Wall
New Delhi: Genetically modified (GM) crops will not be crossing India's borders anytime soon, no matter how urgently the United States knocks. As trade negotiations between New Delhi and Washington enter a crucial phase, insiders say one red line is not up for discussion. 'There are things that are not about negotiation. Some things are a matter of principle,' said a senior official close to the development. That principle, sources say, is GM corn and soy. While American negotiators have made agricultural access a central demand, pressing India for a wider entry gate for U.S. farm goods, New Delhi is not blinking, especially on GM imports. Over the years, the issue has mutated from a mere trade disagreement into a symbolic fight over sovereignty, food safety and grassroots politics. The United States Trade Representative (USTR) has repeatedly flagged India's restrictions on GM products, calling them 'non-tariff barriers'. But Indian authorities remain unmoved, largely because of the hardline stance taken by domestic groups closely aligned with the ruling establishment. Last month, the message from Sangh affiliates was if America insists on forcing GM crops into the Indian market, there may be no trade deal at all. Carried in Business Standard, that warning echoed the sentiments of influential groups such as the Bharatiya Kisan Sangh (BKS) and the Swadeshi Jagran Manch (SJM), which have long opposed agricultural concessions to Washington, particularly in sectors like dairy and GM crops. Their argument? Food security. The BKS has often warned that allowing U.S. crops into India, especially without clear labelling or transparency, could sabotage domestic farming ecosystems and compromise health safety standards. On the other hand, the SJM sees this as a direct attack on economic self-reliance. Meanwhile, the clock is ticking. U.S. officials have privately hinted at the urgency of the moment, pointing to a deadline set by President Donald Trump, who is seeking a revival of his trade agenda. Trump has marked August 1 as a red-letter day. If no interim deal is inked by then, India could be hit with reciprocal tariffs, potentially as high as 26 percent. Indian trade negotiators are not indifferent to that pressure. But according to officials involved in the process, the sixth round of talks will only happen in the second half of August after Trump's deadline expires. Any hope for a short-term resolution seems, at best, unrealistic. As one official put it, 'We are not looking at compromise in areas that touch the lives of millions.' In other words, GM corn is off the table. And perhaps, so is the deal, at least for now.
