Gold prices edged lower on Monday as the U.S. dollar held broadly higher amid continued concerns over trade tensions between the world’s two biggest economies.
Spot gold was down 0.34 percent at $1,210.05 an ounce while U.S. gold futures were down 0.44 percent at $1,217.80 an ounce.
The dollar edged towards a one-year high after Chinese state media unleashed an unusually brutal and personal attack on U.S. President Donald Trump, raising investor concerns that the risks from the U.S.-China trade war will be a drag on overall global growth.
The overseas edition of the ruling Communist Party’s People’s Daily newspaper said that Trump was “starring in his own carefully orchestrated street fighter-style deceitful drama” in which diplomacy had been reduced to a “trading game in which everything should follow the rule of America first”.
The yuan also weakened despite China’s central bank late on Friday raising the reserve requirement on foreign exchange forward positions.