Gold prices held steady near $3,330 an ounce as the second day of U.S.-China trade talks in London hinted at possible breakthroughs. Negotiators discussed potential compromises, including the U.S. easing certain technology export restrictions in return for China loosening limits on rare earth exports. These signs of diplomatic progress eased immediate demand for traditional safe-haven assets.
Year-to-date, gold has risen about 27%, driven largely by global trade tensions that bolstered its role as a store of value. While the pace of the rally has slowed from April’s record highs, persistent tariff concerns continue to underpin demand for precious metals. Bank of America strategist Francisco Blanch projects gold could reach $4,000, although he says that outcome is unlikely before 2026 without a significant market shock to accelerate the move. Other metals showed mixed results: platinum pulled back from four-year highs after rallying roughly 15%, and both silver and palladium experienced declines.