Strong dollar dents gold

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Strong dollar dents gold
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An unexpected expansion in factory activity during November in China also spurred investors into equity markets and reduced the interest in safe-haven bullion

Gold granulate is seen at a plant of gold refiner and bar manufacturer Valcambi in the southern Swiss town of Balerna. Picture: REUTERS/MICHAEL BUHOLZER

“A slightly stronger dollar has weighed on investor appetite for gold, as well as some slightly more positive data, so this is causing gold to drift a little bit lower,” ANZ analyst Daniel Hynes said. The uncertainty about a resolution to the 17-month-old trade dispute between the US and China has supported gold, with reports that a preliminary agreement has now stalled because of US legislation supporting protesters in Hong Kong and Chinese demands that the US roll back its tariffs as part of a first phase deal.

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