WASHINGTON (dpa-AFX) - Gold futures are slightly lower Tuesday morning after having advanced to over 3-month highs earlier amid lingering worries about global slowdown.
Traders have been rushing to pick up the yellow metal in recent sessions amid rising fears the ongoing trade spat between the U.S. and China, and the imposition of tariffs on Mexican goods by the U.S. could result in a global recession.
Recent economic data out of the U.S. and several parts of Asia and Europe too point to a further slowdown of the economy, prompting traders to seek the safe haven asset.
The dollar's weakness amid speculation the Federal Reserve might cut interest rate sometime soon supported the yellow metal's recent sharp upmove.
Gold futures for August were down marginally at $1,327.30 an ounce, after having risen to a high of $1,334.10 earlier.
On Monday, the dollar index shed significant ground against peers amid rising bets the Fed will cut rate in the foreseeable future.
On Monday, St. Louis Federal Reserve President James Bullard said a U.S. interest rate cut 'may be warranted soon' given the rising risk to economic growth posed by global trade tensions as well as weak U.S. inflation.
Investors now look ahead to speeches from several Federal Reserve officials, including Chairman Jerome Powell, who is scheduled to deliver opening remarks at the Conference On Monetary Policy Strategy, Tools And Communication Practices held by the Chicago Federal Reserve Bank in Chicago.
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