Gold Prices Drop by 0.4% Internationally Amid Easing US-China Trade Tensions

Gold prices dropped on Wednesday in the international market as demand for the yellow metal weakened following easing trade tensions between the United States and China. Spot gold decreased by 0.4%, trading at $3,234.32 per ounce, while US gold futures dropped 0.3%, reaching $3,237.00.

Other precious metals also saw declines, with spot silver falling 0.8% to $32.63 per ounce. Platinum remained stable at $987.85, and palladium decreased by 0.7%, settling at $950.18.

Financial market analyst Kyle Rodda from Capital.com commented that positive developments in US trade policies have reduced gold’s appeal in the short term. He noted that if ongoing progress is made in US trade negotiations, gold could see further pullbacks, with $3,200 being a key support level.

The recent drop in gold prices coincided with a White House executive order cutting the “de minimis” tariff on low-value shipments from China to 30%, signaling a further reduction in the trade war tensions between the world’s two largest economies. US President Donald Trump also stated that he did not foresee tariffs on Chinese imports returning to the high levels seen previously, offering optimism for a potential trade deal.

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