23-07-2018 03:40 PM
Gold prices trade higher on Monday over a weaker dollar. In the interim, U.S. President Donald Trump’s condemnation on the Fed and global monetary policy over the weekend also assisted to move the precious metal’s prices higher.
Gold was trading at $ 1,222.50 at the time of preparing this report.
Trump on Friday toughened his condemnation of the Federal Reserve's policy on raising interest rates, commenting it takes away from the United States' 'big competitive edge' and could damage the U.S. economy.
He also blamed the European Union and China of manipulating their currencies.
"China, the European Union and others have been manipulating their currencies and interest rates lower," Trump tweeted over the weekend. That, joined with U.S. interest rate hikes, was waning U.S.’s economy as the dollar strengthened, Trump claimed.
Trump added - "I'm ready to go to 500," referring to the $505.5 billion in goods from China the U.S. imported in 2017.
The U.S. and China exchanged new tariffs on $34 billion worth of goods on each other earlier this month.
The Trump administration has also announced a list of projected duties on $200 billion in Chinese imports, which is yet to be imposed.
Gold is usually seen as a substitute investment in times of political and economic indecision.
The dollar fell on Monday morning subsequent to the events that occurred during the weekend.