Gold is back! August’s impressive rally over $ 1,500

Comex gold futures were at $ 1,507.45 an ounce of land from 6:50 AM ET, down $ 12.15 or 0.8%.

On Wednesday, prices rose 2.4% to break the $ 1,500 barrier for the first time since April 2013, rising to $ 1,522.70.

Gold prices kept above the $ 1,500 high on Thursday, as rumors of a trade war between the US and China and expectations for more monetary easing from the Federal Reserve prompted the pull of yellow metal.

Precious metal has risen 5% so far this month as investors increasingly fear that the protracted trade dispute between Washington and Beijing could lead the global economy into recession.

This, in turn, has fueled expectations that the Fed and other major central banks will have to take drastic action to support the economy.

Chicago Fed President Charles Evans signaled on Wednesday that he was open to lower rates to combat the risks of economic growth from trade tensions.

The future shifted in price to a 100% probability of a Fed easing in September and a nearly 24% chance of a half point drop. About 75 basic relief points are due by January, with levels eventually reaching 1%./

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