Gold gains on softer dollar as investors await US trade updates
Spot gold was up 0.6% at $3,369.02 per ounce, as of 0654 GMT. U.S. gold futures rose 0.5% to $3,376.40.
"Dollar has made a subdued start to the week, which has left the door open for gold to post gains early doors with tariff deadlines looming large," KCM Trade Chief Market Analyst Tim Waterer said.
"The closer we move towards the key August 1 deadline without any new trade deals emerging, the more likely gold is to start fancying another run to towards the $3,400 level and perhaps beyond."
The dollar index weakened 0.2% against its rivals, making gold less expensive for other currency holders.
Investors are eyeing developments in trade negotiations ahead of U.S. President Donald Trump's August 1 deadline, as U.S. Commerce Secretary Howard Lutnick remains optimistic about reaching a deal with the European Union.
Trump might visit China before going to the Asia-Pacific Economic Cooperation summit between October 30 and November 1, or he could meet Chinese leader Xi Jinping on the sidelines of the APEC event in South Korea, reports said.
At its meeting later this week, the European Central Bank is expected to hold interest rates steady at 2.0% following a string of cuts.
Last week, Federal Reserve Governor Christopher Waller said he still believes that the U.S. central bank should cut rates at its policy meeting next week.
Gold, often considered a safe-haven asset during economic uncertainties, tends to do well in a low interest rate environment.
In Japan, the ruling coalition lost control of the upper house in an election on Sunday, further weakening Prime Minister Shigeru Ishiba's grip on power as the U.S. tariff deadline looms.
Elsewhere, spot silver gained 0.4% to $38.33 per ounce, platinum added 1.1% to $1,437.53 and palladium climbed 1.3% to $1,256.98. - Reuters
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Malay Mail
17 minutes ago
- Malay Mail
How Trump turned his Truth Social app into a megaphone
PARIS, July 22 — Donald Trump has turned his obscure Truth Social platform into a megaphone in his second presidential term—constantly posting everything from major policy announcements to personal threats and unashamed self-promotion. To mark his first six months back in power, Trump unloaded around 40 posts Sunday on the app he owns and can use unfettered by moderators, censors or fact-checkers. The deluge was characteristic of the way he has transformed Truth Social, despite being a minnow in the social media world, into the White House's primary means of communication. AFP analysed over 2,800 Truth Social posts by @realDonaldTrump from his inauguration on January 20, 2025 up to July 20 to get a better idea of how the Republican communicates. Sidelining the White House press office, the president speaks straight to his hardcore base, posting an average of 16 messages a day, many in all-caps rants peppered with exclamation marks and the odd expletive. Although Truth Social is tiny compared to X, Trump can post to 10.5 million followers knowing that he is being followed by the media and political establishment, with much of what he says quickly being reposted to rival platforms. Trump repays the favour, helping to create a right-wing media ecosystem that invariably circles back to him. Since January 20, he has shared Fox News articles 101 times, and the New York Post and Breitbart News 51 times each. 'The minute he puts something on Truth Social, others pick it up and echo it,' said Darren Linvill, a social media and disinformation specialist at Clemson University in South Carolina. Alternative to Twitter In his first term, Trump relied in a similar way on what was then known as Twitter—renamed X on being purchased by Elon Musk. But after Trump's attempt to overthrow his loss in the 2020 election, he was banned by Twitter and Facebook and briefly persona non grata in Washington. Although once more present on the bigger alternatives, Trump continues to prefer Truth Social. The posts vary wildly in content, all part of Trump's brand of mixing politics with entertainment. And the style deliberately mimics Trump's verbal ticks—the bombast, salesmanship and exaggeration. 'Vladimir, STOP,' he posted on April 24, after Russia launched an especially heavy bombing of Kyiv. Russian President Vladimir Putin did not stop, but Trump's two-word plea earned heavy media coverage. Half of his posts used at least one exclamation point and 155 were written in all-caps. One post on March 23, promoting his cryptocurrency $Trump, read: 'I LOVE $TRUMP—SO COOL!!! The Greatest of them all!!!!!!!!!!!!!!!!' Controlling the narrative Trump's posts are a way for him to keep the public on its toes and to change the narrative by giving journalists a new 'rabbit hole' to follow when needed, said presidential historian Alvin Felzenberg. The leader of the world's biggest economy knows investors are paying equally close attention. As markets plunged following Trump's tariffs announcements, he used Truth Social on March 10 to pump out articles predicting optimistic economic outcomes. On April 9, just as stock prices were tanking, he posted: 'THIS IS A GREAT TIME TO BUY!!!' And hours later, he announced a 90-day suspension of additional tariffs against dozens of countries, triggering the best day for the S&P 500 index since the recovery from the 2008 financial crisis. The timing led to accusations from Democrats of an insider trader scheme. 'Truth Social doesn't quite have the firepower that I think Twitter had..., but it's still impactful enough that it can at times move the market,' says Stephen Innes, managing partner at SPI Asset Management. — AFP
![Anwar calls on Trump, world leaders to act urgently to end Gaza oppression [WATCH]](/_next/image?url=https%3A%2F%2Fassets.nst.com.my%2Fimages%2Farticles%2FAJORE_O_NSTfield_image_socialmedia.var_1753185763.jpg&w=3840&q=100)
![Anwar calls on Trump, world leaders to act urgently to end Gaza oppression [WATCH]](/_next/image?url=https%3A%2F%2Fassets.nst.com.my%2Fassets%2FNST-Logo%402x.png%3Fid%3Db37a17055cb1ffea01f5&w=48&q=75){kind=small}
New Straits Times
an hour ago
- New Straits Times
Anwar calls on Trump, world leaders to act urgently to end Gaza oppression [WATCH]
KUALA LUMPUR: Prime Minister Datuk Seri Anwar Ibrahim has made an urgent call to United States President Donald Trump and other world leaders to use their influence to help end the ongoing oppression of Palestinians in Gaza. "In this regard, I urge all those with influence over Israel to find the courage to act decisively. "I especially appeal to US President Donald Trump to use his influence to press for an immediate end to the killings, stop the indiscriminate bombings, and ensure that humanitarian aid reaches those in need without obstruction. "This is the hour for moral leadership. This is the time to uphold the values we claim to defend," he said in a clip posted on his Facebook page. Anwar said the aggression against the Palestinians in Gaza reflected an appalling disregard for human life and dignity, and it must end, as it violates the most basic moral code. "Malaysia calls on all world leaders to act with urgency. "Every government that believes in international law, every nation that claims to value human life, must speak with one voice. "Malaysia stands ready to work with all nations — North and South, East and West — to bring relief to Gaza and to restore the basic principles of humanity. "Let us not be remembered as those who stood by. Let us be guided by our conscience, to answer suffering with compassion and to pursue peace for the sake of our humanity."
Malaysia Sun
an hour ago
- Malaysia Sun
U.S. reviews military cloud deals after China-linked tech report
SAN FRANCISCO, California: Microsoft announced July 18 it will no longer allow engineers based in China to provide technical assistance for U.S. military systems, following scrutiny from a U.S. senator and a newly ordered review by Defense Secretary Pete Hegseth into Pentagon cloud contracts. The move comes after investigative outlet ProPublica reported that Chinese engineers were supporting U.S. military cloud computing systems under the supervision of U.S. "digital escorts"—subcontractors with security clearances but often lacking the expertise to evaluate cybersecurity risks. The report raised concerns about potential vulnerabilities and prompted swift action from lawmakers and the Pentagon. Microsoft, one of the largest technology contractors to the U.S. government, confirmed that the arrangement had been disclosed to federal authorities during its contract authorization process. Still, in response to the backlash, the company has now pledged to overhaul its procedures. "In response to concerns raised earlier this week, we've changed how we support U.S. government customers to ensure that no China-based engineering teams are providing technical assistance," Microsoft spokesperson Frank Shaw said on X (formerly Twitter). Earlier in the day, Senator Tom Cotton, who chairs the Senate Intelligence Committee and serves on the Armed Services Committee, sent a letter to Defense Secretary Hegseth demanding clarity about contractors using personnel from China. He also requested details about how digital escorts are trained to detect security breaches. "The U.S. government recognizes that China's cyber capabilities pose one of the most aggressive and dangerous threats to the United States," Cotton wrote. He cited prior intrusions into critical infrastructure and telecom networks as justification for increased vigilance. "The U.S. military must guard against all potential threats within its supply chain, including those from subcontractors." Defense Secretary Hegseth responded swiftly, ordering a full two-week review of all Defense Department cloud service contracts to determine if any others involve China-based personnel. "I'm announcing that China will no longer have any involvement whatsoever in our cloud services, effective immediately," Hegseth said in a video posted online. "We will continue to monitor and counter all threats to our military infrastructure and online networks." The Pentagon has awarded billions in cloud computing contracts to major tech companies as part of its modernization strategy. Cybersecurity has been a growing concern after a series of high-profile hacks—some traced back to state-sponsored actors in China and Russia—targeted U.S. government and corporate systems, including Microsoft's own networks. While Microsoft maintains that proper disclosure protocols were followed, the company's use of Chinese engineers—even under supervision—has reignited debate over foreign access to sensitive military systems. The review launched by Hegseth will assess whether additional safeguards are necessary and whether similar practices have occurred with other vendors.
