Gold prices on Monday were trading lower as the dollar strengthened to start the week, amid concerns about tensions between the U.S. and China. Investors also watched COVID-19 infections as businesses reopen domestically and elsewhere in the world.
Meanwhile, President Donald Trump’s administration is planning to issue a warning that hackers tied to the Chinese government are attempting to steal data from U.S. researchers developing a coronavirus vaccine, The Wall Street Journal reported on Monday.
The charge comes as Sino-American tensions have flared up lately, with President Trump on Friday saying during a Fox News interview that he was unsure if he should cancel a partial trade deal between Washington and Beijing forged in January.
Gold should prosper in that environment but a stronger dollar and a solid run-up by gold toward a psychologically important level at around $1,700 was creating some friction for the yellow metal.
On Comex, June gold GCM20, -0.79% fell $5.50, or 0.3%, at $1,708.40 an ounce, after the most-active contract for gold saw a weekly rise of almost 0.8% put in on Friday.
“Bulls’ next upside price objective is to produce a close in June futures above solid resistance at the April high of $1,788.80,” wrote Jim Wyckoff, senior analyst at Kitco.com, in a Monday research note.