Logo of Phnom Penh Post newspaper Phnom Penh Post - Gold likely to rebound with escalation in US-China spat

Gold likely to rebound with escalation in US-China spat

Content image - Phnom Penh Post
Golden FX Link Capital business manager Nhim Kosol.

Gold likely to rebound with escalation in US-China spat

During a Labor Day news conference at the White House, US President Donald Trump discussed the possibility of decoupling the US economy from China.

He also mentioned other alternative measures, including potential massive tariffs, a ban on cotton imports from China and the prohibition of federal contracts to companies that outsource to the world’s most populous country.

China on the other hand has introduced new visa restrictions on foreign journalists working for US news organisations in its territory, adding fuel to the ongoing tensions between the two nations.

This has consequently allowed gold to potentially gain back its bullish momentum after falling to $1,916 per ounce last week.

This is further boosted by a deteriorating economic climate due to the increasing number of confirmed cases of Covid-19 – with the US topping the list of countries worst affected by the virus – and a reliable vaccine not yet officially on the scene.

Almost 6.2 million cases of Covid-19 had been reported in the US as of Wednesday, according to the World Health Organization.

With rising US-China tensions and the market still focused on developing a Covid-19 vaccine, it could be a good time to invest in gold.

The precious metal should be bought between $1,915 and $1,930, setting the stop-loss function between $1,900 and $1,905 as a risk mitigation measure, and setting the automatic take-profit function either at $1,937 or at $1,945 to cultivate a fruitful return on the investment.


  • Capital-Poipet express rail project making headway

    The preliminary results of a feasibility study to upgrade the Phnom Penh-Poipet railway into Cambodia’s first express railway indicate that the project would cost more than $4 billion and would take around four years to complete. The study was carried out by China Road and

  • Thai boxers to join SEA Games’ Kun Khmer event

    The Cambodian SEA Games Organising Committee (CAMSOC) – together with the Kun Khmer International Federation (KKIF) and Khmer Boxing Federation – have achieved a “great success” by including Kun Khmer in the upcoming biennial multi-sports event on its home soil for the first time, said a senior

  • Bullets to bracelets: Siem Reap man makes waste from war wearable

    Jewellery is often made from valuable gemstones like emeralds or diamonds and precious metals like gold or silver, or valueless things like animal horns. But a man in Siem Reap has approached the manufacture of delicate pieces from a different angle. His unique form of

  • Second Hungary business forum set for H2

    Cambodia has asked Hungary to provide GSP- (Generalised System of Preferences) Plus facilities for when the Kingdom sheds its least-developed country (LDC) label, as the two countries prepare to hold a second business forum in the second half (H2) of this year to expand trade

  • 61% of 2022 imports came from just 3 markets

    The three largest exporters to Cambodia – mainland China, Vietnam and Thailand – accounted for 60.94 per cent of the Kingdom’s total merchandise imports last year, at $18.245 billion, which was up 11.99 per cent over 2021, according to the General Department of Customs and Excise. Cambodia’s total imports

  • CPP sets out five primary strategic goals for 2023-28

    The Cambodian People’s Party (CPP) on January 29 concluded its two-day extraordinary congress, setting the party’s priority goals for 2023-2028. The ruling party’s congress was attended by more than 3,000 members from across the Kingdom, including the members of the permanent and central committees,