Gold prices fall as signs emerge of easing trade tensions

Gold bars

Gold prices declined at the close of trading on Tuesday, as demand for safe-haven assets weakened amid signs of easing global trade tensions, particularly between the United States and China.

June gold futures settled 0.40% lower at $3,333.6 per ounce.

US Commerce Secretary Howard Lutnick said President Donald Trump is set to sign an executive order later today aimed at easing tariff burdens on automakers, bolstering investor hopes that the risk of a global economic slowdown is receding.

Adding to the positive sentiment, reports emerged that China would exempt US ethane imports—along with a number of other products—from retaliatory tariffs.

Further limiting the precious metal’s gains, the US dollar index—which measures the greenback against a basket of six major currencies—rose 0.24% to 99 points as of 10:15 p.m. local time in Mecca.