Gold Slips From Three-week High On Firm Dollar
(RTTNews) - Gold prices retreated from a three-week high on Tuesday as an uptick in the U.S. dollar index prompted traders to book profits at higher levels.
Spot gold fell 1.1 percent to $5,170.15 an ounce while U.S. gold futures were down 0.7 percent at $5,188.24.
Pressure from stronger dollar weighed on bullion after Federal Reserve governor Christopher Waller said Monday that solid job gains in January could mean the central bank can skip a rate cut at its next policy meeting in March.
Citing last month's pickup in hiring, he said that it's a "coin flip" on whether the Fed will cut its main interest rate at its next meeting in March or stand pat again.
Traders also pondered the latest geopolitical developments as well as U.S. trade policy impacts following the U.S. Supreme Court's ruling on reciprocal tariffs.
U.S. President Donald Trump reiterated he prefers a deal with Iran but warned of consequences if upcoming nuclear talks fail.
On the trade front, Trump warned countries against backing away from recently negotiated trade deals, saying that he would hit them with much higher duties under different trade laws.
The uncertainty may worsen if the Trump administration continues imposing new tariffs under alternative laws.
