Gold prices edged down on Thursday in Asia as the U.S. dollar gained on uncertainties around Brexit and Sino-U.S. trade talks.
Gold Futures traded on the Comex division of the New York Mercantile Exchange were down 0.1% to $1,316.25 per ounce by 1:04 AM ET (05:04 GMT).
The U.S. doller Futures Index traded higher today and is near a two-week peak, making the dollar-denominated gold more expensive for holders of other currencies.
Uncertainties on Brexit were cited as supporting the dollar. On Wednesday, U.K. Prime Minister Theresa May said she would step down if Parliament supports her twice-rejected withdrawal deal.
Various media suggested that May is expected to bring a third vote to Parliament in the coming days, even after she openly admitted she lacks support for putting her Brexit deal to such vote.
The U.K. has until April 12 to reach a consensus on Brexit, which would need to be ratified by the EU. Without a deal, the U.K. could request a prolonged extension or leave without a deal.
Traders also pay close attention to further news on the Sino-U.S. trade development, as officials gather in Beijing this week for a new round of trade talks.
In other news, the U.S. yield curve inversion received some residual focus, although it has little impact on gold prices today.
The U.S. 10-years treasury yeild falling below that of the three-month bill for the first time since 2007 last week, signalling that a U.S. recession may be coming.
That came amid the release of weak economic data from the U.S. and around the world as well as a downgraded U.S. economic outlook from the Federal Reserve.