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PRECIOUS-Gold slips as easing lockdown measures boost risk appetite

Published 05/05/2020, 03:10
Updated 05/05/2020, 03:12
© Reuters.
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May 5 (Reuters) - Gold prices slipped on Tuesday as risk
sentiment was lifted by easing coronavirus restrictions, while
brewing tensions between the United States and China over the
outbreak kept the safe-haven metal near the key $1,700 per ounce
level.

FUNDAMENTALS
* Spot gold XAU= fell 0.1% to $1,699.56 per ounce by 0133
GMT. U.S. gold futures GCv1 were down 0.5% to $1,705.50 per
ounce.
* A late Wall Street rally helped Asian stocks trade higher
after tech shares and oil rose on easing coronavirus
restrictions and prospects of an economic recovery, overcoming
concerns about renewed Sino-U.S. trade tensions. MKTS/GLOB
* Italy and the United States were among a slew of countries
tentatively easing coronavirus lockdowns on Monday to revive
economies as global deaths surpassed a quarter of a million.
* The Trump administration is "turbocharging" an initiative
to remove global industrial supply chains from China as it
weighs new tariffs to punish Beijing for its handling of the
coronavirus outbreak, according to officials familiar with U.S.
planning. * An internal Chinese report warns that Beijing faces a
rising wave of hostility in the wake of the coronavirus outbreak
that could tip relations with the United States into
confrontation, people familiar with the paper told Reuters.
* New orders for U.S.-made goods suffered a record decline
in March and could sink further as disruptions from the novel
coronavirus fracture supply chains and depress exports.
* Big central banks are buying from an expanding menu of
government bonds, corporate debt and consumer loans to help
businesses and households through the pandemic -- and no one
knows whether they can stop. * Two of the world's biggest gold refiners, Valcambi and
Argor-Heraeus, are restoring almost all operations after
Switzerland relaxed lockdown measures, they said on Monday.
* SPDR Gold Trust GLD , the world's largest gold-backed
exchange-traded fund, said its holdings rose 0.4% to 1,071.71
tonnes on Monday from 1,067.90 tonnes on Friday. GOL/ETF
* Palladium XPD= gained 0.5% to $1,857.50 per ounce.
* Platinum XPT= slipped 0.1% to $764.91 an ounce, while
silver XAG= fell 0.2% to $14.81 per ounce.

DATA/EVENTS (GMT)
0830 UK Reserve Assets Total April
1230 U.S. International Trade March
1345 U.S. Markit Comp, Svcs Final PMIs April
1400 U.S. ISM N-Mfg PMI April

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