Gold Price Steady at $3,310 as Markets Eye US-China Trade Talks

Gold Price Steady at $3,310 as US-China Trade Talks Loom

The Gold price (XAU/USD) is trading flat near $3,310 during Monday's early Asian session, maintaining its footing ahead of high-stakes US-China trade negotiations later in the day. The precious metal had previously touched $3,310 in the Monday morning session, reflecting cautious investor sentiment.

Strong US Jobs Data Supports the US Dollar

The US Nonfarm Payrolls (NFP) report showed a May increase of 139,000 jobs, outperforming market expectations of 130,000. While this figure was lower than April's revised 147,000 (down from an initial 177,000), the resilience of the labor market lent strength to the US Dollar, often negatively correlated with gold.

• Unemployment Rate: Unchanged at 4.2%
• Average Hourly Earnings: Steady at 3.9% YoY, above forecasts

This robust jobs data reinforces the USD’s strength, which typically pressures gold prices. However, the broader context remains supportive of gold.

Geopolitical Uncertainty and Trade Tensions Cushion Gold

Despite the stronger dollar, uncertainty surrounding US President Donald Trump’s tariff strategy and ongoing trade policy ambiguity keeps investors leaning toward safe-haven assets like gold.

With the upcoming US-China trade negotiations taking center stage, market participants are cautious. Any hawkish rhetoric or failed progress could reignite risk-off sentiment, potentially boosting demand for gold.

Related Content on Tredu.com:

• How US Jobs Data Shapes Federal Reserve Policy
• Gold vs. Dollar: Understanding the Inverse Relationship
• Trade War 2.0? What to Expect from US-China Talks

Key Takeaways:

• Gold (XAU/USD) is steady around $3,310 in early trading.
• US May NFP came in at 139,000, above the 130,000 forecast.
• Unemployment and wage data remained strong, supporting the USD.
• US-China trade negotiations remain a key event risk.
• Tariff uncertainty may limit downside in gold despite strong dollar.