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Investing.com-- Gold prices traded marginally higher Tuesday as traders mostly kept to the sidelines in want of more cues on a potential Russia-Ukraine peace deal, while anticipation of the Jackson Hole Symposium also spurred caution.
At 05:15 ET (09:15 GMT), Spot gold rose 0.1% to $3,337.31 an ounce and gold futures for October rose 0.1% to $3,381.47/oz.
Uncertainty over Russia-Ukraine talks
Following Monday’s meeting in Washington, Trump and European leaders were seen offering some security guarantees to Ukraine, although it was unclear what these would entail.
U.S. President Donald Trump said on Monday that he was now seeking to arrange a meeting between Russia President Vladimir Putin and Ukraine President Volodymyr Zelensky, raising hope of an end to the conflict.
However, a ceasefire was not agreed upon, with Ukraine’s air force stating on Tuesday that Russia launched 270 drones and 10 missiles overnight in one of its largest attacks this month.
The most significant sticking point is the land that Russia has occupied in fighting, which Ukraine wants back.
Broader metal prices moved in a flat-to-low range on Tuesday. Spot platinum rose 1.5% to $1,358.25/oz, while spot silver rose 0.2% to $38.093/oz.
Among industrial metals, benchmark copper futures on the London Metal Exchange rose 0.2% to $9,764.00 a ton and COMEX copper futures rose 0.2% to $4.4808 a pound.
Jackson Hole awaited for more Fed, rate cues
The dollar caught some bids this week, helping it recover some of last week’s declines as focus turned to the Jackson Hole Symposium this week.
Fed Chair Jerome Powell is set to speak at the central bank event, potentially offering up more cues on interest rates amid growing speculation over a September rate cut.
Powell is expected to address increased expectations for lower rates, especially following weak prints on U.S. payrolls and consumer inflation. But unexpected strength in producer inflation, amid increased uncertainty over the inflationary impact of Trump’s tariffs, still kept markets uncertain over the Fed’s next move.
Lower interest rates benefits commodities like gold which do not pay interest on holdings.
Ambar Warrick contributed to this article
The yellow metal was nursing some losses from last week as markets bet that a meeting between U.S. President Donald Trump and Russian counterpart Vladimir Putin would herald a swift end to the Russia-Ukraine war. Trump also met Ukrainian President Volodymyr Zelensky and a cadre of European leaders on Monday.