Market Reacts to US-China Trade Discussions

Investors showed a positive response to the latest developments in US-China trade relations, leading to a noticeable dip in precious metal prices. United States President Donald Trump announced that discussions with China have commenced, aiming to improve trade relations between the two economic powerhouses.

Impact on Precious Metals

Gold experienced a significant drop, decreasing by 1.08% to $3,312.81 per ounce by early morning. Similarly, silver saw a 0.38% decline, trading at $33.46 per ounce. Platinum and palladium weren't spared either, with platinum falling by 1.07% to $965.13 per ounce and palladium slipping by 0.91% to $925.95 per ounce.

Behind the Price Movements

The adjustments in tariffs by China on certain US-made semiconductors, as reported, have contributed to the market's optimistic outlook, influencing the downward trend in precious metal prices.