Daily Gold Update

Source: Marketwatch

New York— Copper futures sank nearly 2% on Monday, as concerns about a trade war between China and the U.S. fueled concerns about the global economy, encouraging safe-haven demand in the dollar and pressuring commodities. Over the weekend, Washington imposed stiff tariffs on Chinese-made tires, and China said it would launch an anti-dumping investigation into U.S. sales of chicken and auto products. Industrial metals, such as copper, were harder hit than others. Copper for December delivery finished down 4 cents, or 1.4%, at $2.80 a pound on the Comex division of the New York Mercantile Exchange, after earlier falling to a low of $2.76. Earlier, safe-haven demand for the dollar also pressured precious metals such as gold.

The front-month September gold contract finished down 0.5% at $999.90 an ounce on the Comex division of the New York Mercantile Exchange. On Friday, September gold settled at $1,004.90 an ounce, the highest settlement for a nearby gold contract. The more active December contract ended down 0.5% at $1,001.10 an ounce. The dollar index earlier rose to a high of 77.08, compared with 76.662 late Friday. "The prime mover of the retreat [in gold] was indeed the dollar's advance back to the 77 level on the trade-weighted index in the wake of the blossoming trade friction," said Jon Nadler, senior analyst at Kitco Metals, in a note. See full story.