Investing.com – Gold prices retreated as dollar strength and renewed investor appetite for riskier assets lowered demand for safe-haven gold.
Gold futures for June delivery on the Comex division of the New York Mercantile Exchange fell by $15.80, or 0.71%, to $1,337.40 a troy ounce.
Risk appetite returned as US stocks bounded back from sharp declines a day earlier, while dollar strength also pressured gold prices to near session lows of $1,332.70 a troy ounce.
Gold prices had rallied sharply a day earlier Monday following as investors piled into safe-haven assets amid worries over escalating U.S.-China trade tensions after Beijing imposed tariffs on US food imports, retaliating against the U.S. tariffs on steel and aluminium imports
Analysts continue to expect that gold prices will remain roughly range bound – between $1,310 to $1,360 – amid a lack of trigger events to push the precious metal beyond its range.
Rick Rule, chief executive officer of Sprott U.S. Holdings Inc., however, suggested last week that gold could surge to the highest level in five years if a global trade war breaks out.
In other precious metal trade, silver futures fell 1.66% to $16.40 a troy ounce, while platinum futures fell 0.77% to $929.30 an ounce.
Copper rose 0.36% to $3.06, while natural gas rose 0.56% to $2.70.