Gold And Silver Prices Down On Trade Deal News

GOLD

Gold and Silver prices are significantly lower today, both testing support levels in the wake of news of a trade agreement being negotiated between the U.S. and China.
The easing of tensions between the two countries has had a significant impact on the precious metals market as stock indexes rally at the same time, bolstered by traders’ increased risk appetite and decreased safe-haven buying.
Gold has seen a 2% drop as a result of this waning safe-haven demand.
Investors await Wednesday when the Federal Reserve is expected to deliver news of another 0.25% interest-rate cut. Economic uncertainty continues to support Gold despite its recent losses, and traders believe the Gold rally could continue after a short correction.

At 11 am PT today, Gold is trading at $4008, down $102 coming out of the weekend.

SILVER

Silver followed Gold lower, slipping past the $47.51 support level this morning on diminished safe-haven buying and a slightly stronger U.S. dollar, as well as the U.S.-China trade deal news.
However, the white metal continues to hold around the $47 mark. Silver will need to break through the $49.50 resistance level to reverse its recent bearish trend.

At 11 am PT today, Silver is trading at $46.99, down $1.49 from Friday.