Gold Prices Drop Ahead Of EU And G20 Summits

London (Nov 23)  Gold prices fell slightly on Friday as caution crept in ahead of next week's G20 summit and the weekend EU summit on Brexit.

Spot gold dropped 0.3% to USD1,222.16 per ounce while US gold futures were down almost half a percent at USD1,222.30 per ounce.

US President Donald Trump and his Chinese counterpart, Xi Jinping, are expected to meet on the sidelines of the G20 summit in Buenos Aires, Argentina, taking place from November 30 to December 1.

The talks are unlikely to trigger a breakthrough as the two leaders have deep disagreements on an array of issues.

The US tariff rate on USD200 billion in Chinese goods is set to increase to 25% from 10% on January 1.

Trump also said he would move ahead with imposing another round of tariffs on an additional USD267 billion in goods, effectively covering all Chinese exports to the U.S., if no agreement can be reached.

The UK and EU leaders from 27 member countries will gather for a final round of talks in Brussels on Sunday, with Spain saying it would not agree to the Brexit deal unless changes are made to the wording over Gibraltar.

RTTnews