Stock Market Update
12-May-25 14:00 ET
Gold falls 3.5% to $3,228 as trade truce eases safe-haven demand, lifts dollar
Dow +1064.30
at 42313.68,
Nasdaq +747.19
at 18676.11,
S&P +171.69
at 5831.60
[BRIEFING.COM] With about two hours to go on Monday the tech-heavy Nasdaq Composite (+4.17%) holds a decent lead among the major averages.
Gold futures settled $116 lower (-3.5%) at $3,228/oz, mostly driven by a notable easing in U.S.-China trade tensions. Following productive negotiations in Geneva, both nations agreed to a temporary 90-day reduction in reciprocal tariffs, with the U.S. lowering tariffs on Chinese goods from 145% to 30%, and China reducing tariffs on U.S. imports from 125% to 10%. This development diminished the demand for gold as a safe-haven asset, as investors' concerns over a potential trade war and global economic slowdown subsided. The positive shift in trade relations also bolstered the greenback, further exerting downward pressure on gold prices.
Meanwhile, the U.S. Dollar Index is up +1.5% to $101.87.
