North American market indices closed higher yesterday, the oil price dropped, and US president Donald Trump put more pressure on the US Federal Reserve's FOMC to stop raising interest rates, urging them in a tweet to avoid making "yet another mistake".
The FOMC two-day monetary policy meeting is to conclude later today.
European and Asian market indices were lower yesterday and the gold price continues to climb amid uncertainties over US-China trade talks, Brexit and fears of slowing global growth.
It was above US$1,250 an ounce on the spot market earlier, while copper has fallen below US$6,000/t on the LME.
"Gold is regaining momentum," MineLife senior resource analyst Gavin Wendt told Bloomberg from Sydney.
"Until now, gold has played second fiddle to the US currency as investors have sought a safe haven in the face of trade war uncertainty. Now, we see gold's appeal firming."
Marex Spectron's head of institutional sales metals (Asia) Matt France echoed the sentiment following yesterday's close.
"The macro cues are telling us we should be selling rallies so caveat emptor is all I have for you today for base metals and maybe buy some gold for Christmas instead," he said.
Metals and mining stocks closed in positive territory in Toronto yesterday and in Australian trade, gold miners dominated the list of top five market risers in afternoon trade.
St Barbara (ASX: SBM) added to yesterday's gains, up more than 5.5% in late trade.
