Investing.com - Gold prices found support and moved higher on Wednesday as talks between the U.S. and North Korea broke down without a deal and hopes for an imminent trade agreement between China and the U.S. faded.
Amid the geopolitical concerns, investors also looked ahead to data on fourth-quarter economic growth in the U.S. at 8:30AM ET (13:30 GMT). Markets expect a slowdown to 2.6% at the end of 2018 from the prior 3.4% expansion seen in the third quarter.
At 7:50 AM ET (12:50 GMT), gold futures for April delivery on the Comex division of the New York Mercantile Exchange rose $5.95, or 0.45%, to $1,327.15 a troy ounce.
U.S. President Donald Trump said that he had walked away from talks with North Korean leader Kim Jong-Un because of unacceptable demands to lift U.S. sanctions.
“Basically, they wanted the sanctions lifted in their entirety, and we couldn't do that,” Trump explained.
In another positive development for the safe haven metal, investors have become more skeptical about the chances of a trade agreement between the U.S. and China, after comments from U.S. Trade Representative Robert Lighthizer
Lighthizer told a Congressional hearing on Wednesday that it was too early to predict an outcome to the current negotiations, dampening hopes for a quick end to the standoff.
Thursday’s calendar also features several appearances from Federal Reserve officials; investors will likely focus on remarks from the central bank's chief Jerome Powell and vice chairman Richard Clarida.
There will also be data on weekly jobless claims as well as the Chicago PMI survey.
In other metals trading, silver futures gained 0.47% to $15.745 a troy ounce by 7:51 AM ET (12:51 GMT).
Palladium futures traded up 1.84% to $1,504.40 an ounce, while sister metal platinum traded up 0.89% at $877.60.
In base metals, copper slipped 0.19% to $2.957 a pound.