Gold Prices Near Flat Despite Uncertainties Revolving Around Prolonged Trade Spat

Investing.com - Gold prices were little changed on Tuesday in Asia despite fading optimism over a possible trade deal between the U.S. and China.

Citing a government source, CNBC reported that Beijing was pessimistic about a trade deal with the United States. Chinese officials found U.S. President Donald Trump’s comment that he did not agree on cancelling tariffs troubling.

The yellow metal was little impacted by the news. U.S. Gold Futures for December delivery last traded at $1,472.45 by 12:57 AM ET (04:57 GMT), up 0.04%.

Gold fell late last week after Commerce Secretary Wilbur Ross and White House economic adviser Larry Kudlow suggested that the U.S. and China were closing in on a deal, sending all three major stock indexes on Wall Street to record highs.

In other news, Trump met with Federal Reserve Chairman Jerome Powell and Treasury Secretary Steven Mnuchin at the White Houseovernight to discuss the economy.

Powell’s comments “were consistent with his remarks at his congressional hearings last week,” the Fed said in a statement released after the meeting, while Trump said the meeting was “very good.”

“Just finished a very good & cordial meeting at the White House with Jay Powell of the Federal Reserve. Everything was discussed including interest rates, negative interest, low inflation, easing, Dollar strength & its effect on manufacturing, trade with China, E.U. & others, etc,” the president tweeted.