On Tuesday, gold edged up following April’s weaker than expected Caixin manufacturing poll in China, thus increasing prospects of continued monetary easing.
Some analysts point out that the long-term view on global interest rates are still below trend even after major banks have started raising rates.
In New York, June delivery gold futures gained 0.08%, trading at $1,296.80 per troy ounce. Additionally, May delivery silver futures traded at $17.825, showing a 0.03% descend, while May delivery copper futures lost 0.66% at 2.250.
Gold dared to grow higher than $1,300 per ounce overnight for the first time for 15 minutes, notwithstanding light volume due to the May Day holiday. Meanwhile, the evergreen buck dipped to another 9-month minimum reacting to soft American manufacturing data.
On Monday, the Institute for Supply Management reported that its April’s Manufacturing Index fell 1%, staying at 50.8, less than expected reading of 51.4.