Gold edges lower after biggest rally since Brexit vote

Reuters/Jan Harvey/05-18-17

Gold eased on Thursday as a bounce in the dollar prompted some buyers to cash in gains after its biggest one-day rally in nearly a year, though uncertainty over the outlook for the Trump presidency underpinned the metal near two-week highs.

Gold surged nearly 2 percent on Wednesday, its biggest one-day jump since Britain’s June vote to leave the European Union, on reports that U.S. President Donald Trump had tried to intervene in an investigation into alleged Russian interference in last year’s U.S. election.

…”(Gold) is seeing a pullback after yesterday’s strong performance — it needs to take a breather,” said Heraeus precious metals trader Alexander Zumpfe. “It ran into resistance towards $1,260.”

PG View: Stocks recouped much of this morning’s follow-on losses after a round of generally favorable U.S. economic data, weighing on gold.

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