The precious metal was trading volatile on Wednesday. The trade talks, which seem to have stalled now, raise prospects that the Phase-One deal will not be made this year.
The earlier view was that both parties would strike a deal by November. The precious metal recovered from losses from over a week, but the gains were subdued.
XAU/USD Likely to Maintain the Upside
XAUUSD could see further upside if the current momentum continues. Prices are trading within the 1483 – 1462 corridor. A breakout from this range could set the near term direction. But, given that the trade narrative has become a major driver, price action could continue to remain choppy for a while.
