Gold prices showed little movement in Tuesday’s Asian trading session as investors stayed cautious, awaiting clearer signals on a possible Russia-Ukraine peace deal and anticipating the upcoming Jackson Hole Symposium.
The yellow metal was recovering from losses seen last week, when markets speculated that a meeting between U.S. President Donald Trump and Russian President Vladimir Putin could lead to a rapid resolution of the war in Ukraine. Trump also met Ukrainian President Volodymyr Zelensky and several European leaders on Monday.
Spot gold inched up 0.1% to $3,337.31 an ounce, while October gold futures rose 0.1% to $3,381.47/oz as of 01:23 ET (05:23 GMT).
Russia-Ukraine Talks Limit Gold Losses
Although gold experienced declines last week, prices stabilized on Monday amid skepticism over a quick resolution to the Russia-Ukraine conflict. Reports suggesting that Trump might request Ukraine to cede territory to Russia as part of a peace deal—something Kyiv has consistently rejected—added to market uncertainty.
Still, Trump and European leaders appeared to offer certain security assurances to Ukraine, though the specifics remain unclear. Fighting continued over the weekend despite heightened diplomatic discussions.
Trump indicated on Monday that he is working to arrange a direct meeting between Zelensky and Putin, potentially paving the way for trilateral negotiations, though the timeline remains uncertain.
Other Metals Remain Range-Bound
Broader metals mostly traded in narrow ranges on Tuesday, facing some downward pressure from the dollar. Spot platinum fell 0.3% to $1,328.12/oz, while spot silver declined 0.2% to $37.9435/oz. Industrial metals were largely flat, with London Metal Exchange copper futures up 0.1% at $9,759.45 per ton, and COMEX copper futures rising 0.1% to $4.4780 a pound.
Focus Shifts to Jackson Hole for Fed Guidance
The dollar strengthened slightly this week, recovering some ground from last week, as traders turned their attention to the Jackson Hole Symposium. Fed Chair Jerome Powell is scheduled to speak, offering potential insights on interest rates amid speculation over a September rate cut.
Powell is expected to address rising expectations for lower rates following weak U.S. payroll and consumer inflation data. However, stronger-than-expected producer inflation readings and uncertainty around the impact of Trump’s tariffs have kept markets cautious about the Fed’s next moves. Powell has so far remained largely non-committal, while also facing mounting pressure from the White House to consider further rate reductions.
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