Trump Tweets, Gold Holds, Dollar Bottoms
President Trump made headlines as usual this weekend, this time leaving the G7 trade talks midstream. Then he blasted Justin Trudeau, calling the Prime Minister of Canada “weak.” As we’re about to see, political spats like these can be important gold news in their own right.
This may turn out to be of major concern to gold traders, as the US Dollar looked to have bottomed on Thursday and followed that up with a somewhat disappointing day on Friday. Trump’s hardball tactics have been called strongarm before, but clashes like this can lead to a weakening currency. Of course we know it ain’t over ’til it’s over, and the G7 summit continues today sans Trump. What progress they’ll make remains to be seen.
With currency trading basically going sideways before the open this morning, it seems the market is waiting too. It’s days like this I’m glad I’m not a betting man. What do you think – Will Trump’s hardball tactics pay off, or will the other six members of the G7 start to retaliate against the US? Let us know your take on these issues in the Comments below.