Afshin Sazegar | The price of crisis-proof gold changed little in Asia on Monday as traders remained cautious about the limited trade agreement agreed between the United States and China last week.
US gold futures for February were down 0.03% on the Comex in New York at 05:55 CET to USD 1,480.50 a troy ounce.
The "Phase One" trade agreement, which was announced on Friday, provides that the US will suspend certain tariffs on Chinese goods, which should come into effect on Sunday. In return, U.S. exports to China, U.S. trade commissioner Robert Lighthizer said, will almost double in the next two years.
Lighthizer added that there is no date yet for the second phase of the talks. His comments prompted US President Donald Trump to declare that phase 2 negotiations would begin immediately, "instead of waiting for the 2020 election.
"Gold bulls believe that there are more unknown than known factors in this deal, so gold prices have barely dropped in recent days," said Adam Sarhan, general manager of 50 Park Investments, Orlando, Florida.
In the meantime, investors will pay close attention to statements by several Fed officials in the coming days after the Fed decided last week to keep rates stable.