Gold edges up as China trade data spooks market participants
On Thursday, gold prices pushed higher during European trading session, right after surprisingly poor China’s trade data raised fresh worries regarding the world's second-largest economy.
In New York, December delivery gold futures ascended 0.56%, trading at $1,260.95 per troy ounce. Yesterday, the precious metal sagged 0.17%.
Chinese exports descended almost 10% year-on-year in dollar-terms, while imports dipped 1.9% from the previous year. In Yuan terms, exports edged down 5.6% on-year, imports added 2.2%.
It left China with a trade surplus of about $41.99 billion for the month, the lowest outcome for six months, according to the General Administration of Customs.
The weak Chinese trade data provoked a dip in global equities and a sag in the greenback. Moreover, it backed the Japanese yen and gold, which are both considered to be safe haven assets.
Against a basket of key currencies, the greenback last traded at 97.99, having pulled back from a seven-month peak of 98.11 set achieved earlier on Thursday.
Meanwhile, minutes of the Fed’s policy meeting issued on Wednesday revealed that several voting members of the policy committee judged a rate lift would be warranted soon if the American economy keeps strengthening.