Gold Inches Higher As Risk Aversion Sets In
Gold prices rose slightly on Tuesday as global equities tumbled on growing concerns over a budget showdown between Italy and the EU as well as fears over a potential slowdown in China's economic growth.
Spot gold was up 0.16 percent at $1,186.28 an ounce after having falling 1.2 percent on Monday, its biggest single-day percentage fall since Aug. 15. U.S. gold futures were up 0.10 percent at $1,189.80 an ounce.
Asian stock markets ended mostly lower today and European stocks were retreating after China allowed its currency to slip past a psychological bulwark and the International Monetary Fund lowered its forecast for Chinese economic growth in 2019 to 6.2 percent from 6.4 percent, citing the «negative effect of recent tariff actions»
Elsewhere in Europe, Italian Economy Minister Giovanni Tria said he wanted to have constructive talks with EU partners over the 2019 budget.
After unveiling the DEF economic blueprint in parliament, Tria said there was «a lag in economic growth and employment, a lag that is no longer acceptable, 10 years since (the start of) the economic crisis».