Gold prices rise amid brewing skepticism over U.S.-China’s Phase 1 trade deal

Gold prices rise amid brewing skepticism over U.S.-China’s Phase 1 trade deal

Gold prices rose on Friday amid skepticism about the trade deal between the U.S. and China. Beijing and Washington had signed a Phase 1 deal on Wednesday, though some doubted whether the two major economies could develop it relations consistently.

Gold Futures for February on New York-based COMEX was up by 0.19% to $ 1,553.45 by 09:41PM ET (02:41 GMT). Experts have speculated that the safe-haven commodity might not slide further due to economic growth risks.  

Meanwhile, the Phase 1 deal has been criticized for its loopholes. According to the agreement, Beijing will increase its purchase of U.S. products and services by an additional $200 billion over the course of 2 years. While the agreement also puts an end to the imposing of new tariffs, the already-established U.S. and Chinese tariffs before the deal would remain unchanged. Currently, the United States’ has levies on $360 billion worth of Chinese products while the Chinese tariffs are imposed on over $100 billion worth of U.S. products.