Gold futures on the COMEX division of the New York Mercantile Exchange retreated Monday as the U.S. dollar rallied amid easing tensions between Washington and Pyongyang.
The most active gold contract for December delivery went down 3.6 U.S. dollars, or 0.28 percent, to settle at 1,290.40 dollars per ounce.
Gold futures had risen to two-month high last Friday when U.S. President Donald Trump issued a new threat to the Democratic People's Republic of Korea (DPRK), saying the U.S. military was "locked and loaded" as DPRK accused him of driving the Korean Peninsula to the brink of nuclear war.
Top U.S. officials sought over the weekend to assuage tensions with Pyongyang, as both Secretary of Defense Jim Mattis and Secretary of State Rex Tillerson expressed that Trump administration was seeking diplomatic solutions to reach the goal of a "denuclearized Korean Peninsula."
As a result, the U.S. dollar index rebounded Monday by 0.26 percent to 93.34 as of 1738 GMT. The index is a measure of the dollar against a basket of other major currencies. When the dollar goes up, gold futures will fall.
The Dow Jones Industrial Average also rallied. It increased 144.25 points, or 0.66 percent, to 22,002.57 as of 1749 GMT, putting additional pressure on gold.
When equities post gains, the gold futures usually fall, as investors are not necessarily seeking safe haven.
As for other precious metals, silver for September delivery rose 5.2 cents, or 0.3 percent, to close at 17.122 dollars per ounce. Platinum for October fell 14.8 dollars, or 1.5 percent, to settle at 974.9 dollars per ounce.
The most active gold contract for December delivery went down 3.6 U.S. dollars, or 0.28 percent, to settle at 1,290.40 dollars per ounce.
Gold futures had risen to two-month high last Friday when U.S. President Donald Trump issued a new threat to the Democratic People's Republic of Korea (DPRK), saying the U.S. military was "locked and loaded" as DPRK accused him of driving the Korean Peninsula to the brink of nuclear war.
Top U.S. officials sought over the weekend to assuage tensions with Pyongyang, as both Secretary of Defense Jim Mattis and Secretary of State Rex Tillerson expressed that Trump administration was seeking diplomatic solutions to reach the goal of a "denuclearized Korean Peninsula."
As a result, the U.S. dollar index rebounded Monday by 0.26 percent to 93.34 as of 1738 GMT. The index is a measure of the dollar against a basket of other major currencies. When the dollar goes up, gold futures will fall.
The Dow Jones Industrial Average also rallied. It increased 144.25 points, or 0.66 percent, to 22,002.57 as of 1749 GMT, putting additional pressure on gold.
When equities post gains, the gold futures usually fall, as investors are not necessarily seeking safe haven.
As for other precious metals, silver for September delivery rose 5.2 cents, or 0.3 percent, to close at 17.122 dollars per ounce. Platinum for October fell 14.8 dollars, or 1.5 percent, to settle at 974.9 dollars per ounce.
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