Producers of metals and other raw materials rose amid hopes of a breakthrough in U.S.-Chinese trade negotiations.
The U.S. postponed the imposition of tariffs on a range of goods, including electronics such as smartphones and laptops, until after the holiday shopping season. The move followed what President Donald Trump characterized as a "very good call" between Treasury Secretary Steven Mnuchin and his Chinese counterpart, Liu He. News service Xinhua reported that more trade talks are planned in the coming weeks.
Gold futures retreated somewhat in line with the odds of a Federal Reserve rate cut. Strategists warned that the trade battle was not over yet. "Nonetheless, the Damocles sword of tariff increases in the future remains and will stoke uncertainty," said strategists at Swiss bank UBS. "Notably, this uncertainty and lack of confidence was a key driver of the Fed cut in July and will likely be enough for them to cut again in September."
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(END) Dow Jones Newswires
August 13, 2019 16:18 ET (20:18 GMT)Copyright (c) 2019 Dow Jones & Company, Inc.