LONDON: Gold slipped to more than one-week low on Tuesday as strength in equities markets and hopes for a smooth signing of the US-China Phase 1 trade deal tarnished bullion’s safe-haven appeal, while palladium hit a record high.

Spot gold dipped 0.4 per cent to $1,542.50 an ounce by 1300 GMT after touching their lowest since January 3 at $1,535.63. US gold futures dropped 0.5pc to $1,543.10.

Bullion rose to its highest in nearly seven years last week on worries over potential military conflict between the United States and Iran, but the rally faded in the absence of any further escalation in tensions.

Palladium hit a record high of $2,155.01 an ounce and was on track for a ninth straight session of gains, supported by a sustained supply deficit. The metal widely used in catalytic converters in automobile exhaust systems was up 0.9pc at $2,151.71.

Else­where, silver was down 1.2pc at $17.74 after hitting its lowest since December 24 at $17.64 and platinum slipped by 0.6pc to $967.86.

Published in Dawn, January 15th, 2020