Gold Advances as Market Weighs Upcoming US-China Trade Talks.

Gold rose at the end of a volatile week as investors focused on the outcome of upcoming trade talks between the world’s two largest economies.

Bullion traded around $3,325 while heading for a weekly gain of more than 2.5%. The Trump administration is weighing a dramatic tariff reduction on Chinese imports to below 60%, according to people familiar with discussions due to begin on Saturday, which it expects China may be prepared to match.

Also high on the US wish list is securing the removal of Beijing’s export restrictions on rare earths.

The trade war unleashed by the new US administration has powered gold’s 27% rally this year, sending bullion to a record $3,500 an ounce last month. While a softer stance on trade from the US would weaken haven demand, gold has also seen support from strong central bank buying and speculative Chinese retail activity.

Source: Financeyahoo