Gold prices slipped from a two-week high on Monday (May 26) after US President Donald Trump set a Jul 9 deadline for a trade deal with the European Union, rescinding his earlier threat of a 50 per cent tariff from Jun 1.
Spot gold was down 0.5 per cent at US$3,339.13 an ounce, as at 0101 GMT.
US gold futures fell 0.8 per cent to US$3,337.40.
Trump on Sunday backed off his threat to speed up 50 per cent tariffs on imports from the European Union, agreeing to extend his deadline for trade talks until Jul 9 after the head of the EU executive body said the bloc needed more time to “reach a good deal”.
Gold prices rose more than 2 per cent to a two-week peak on Friday, supported by safe-haven inflows after Trump recommended 50 per cent tariffs on European Union imports from Jun 1 and considering a 25 per cent tariff on any Apple iPhones made outside the United States.
The US dollar index, meanwhile, fell to a near one-month low against its rivals. A weaker US dollar makes greenback-priced gold less expensive for other currency holders.
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Russian forces launched a barrage of 367 drones and missiles at Ukrainian cities overnight, in the largest aerial attack of the war so far, killing at least 12 people and injuring dozens more, officials said.
Israeli military strikes killed at least 30 Palestinians across the Gaza Strip on Sunday, including a senior rescue service official and a journalist, local health authorities said.
Trump said that US negotiators had “very good” talks with an Iranian delegation over the weekend as he seeks a deal to prevent Tehran from developing a nuclear weapon.
SPDR Gold Trust, the world’s largest gold-backed exchange-traded fund, said its holdings fell 0.15 per cent to 922.46 tonnes on Friday from 923.89 tonnes on Thursday.
Spot silver eased 0.3 per cent to US$33.36 an ounce, platinum edged 0.1 per cent higher to US$1,095.90 and palladium gained 0.8 per cent to US$1,000.83. REUTERS
