Gold Plunges Below $4,000 as US-China Truce Erodes Haven Demand

Gold slid below $4,000 an ounce, extending losses from the worst rout in over a decade as progress on a US-China trade deal sapped haven demand.

Spot gold fell as much as 3.4% to below $3,980 an ounce, following last week’s abrupt halt to rapid advances on concerns the record-breaking rally had run too far. Chinese and US trade negotiators have lined up an array of diplomatic wins for President Donald Trump and counterpart Xi Jinping to unveil at a summit this week. A trade agreement between the world’s two biggest economies may ease some of the economic risks and geopolitical tensions that have bolstered the precious metal.