The US dollar weakened and expectations for rate cuts continued to make a strong push, with gold recovering the 4000 dollar mark.

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[The US dollar weakens and the expectation of interest rate cuts continues to make a strong push, gold recovers the 4000 dollar mark] Gold prices recovered some ground on Tuesday, returning to above $4,000/ounce, as the weakening dollar and expectations of further interest rate cuts from the Fed outweighed the pressure from signs of thawing international trade tensions. In the early session, spot gold peaked at around $4,019/ounce, after falling more than 3% on Monday to its lowest level since October 10. Tim Waterer, Chief Market Analyst at KCM Trade, stated: “Those buyers waiting on the sidelines for gold are now being tempted to build a position at these price levels. Additionally, we are seeing the dollar weaken, which gives gold prices some breathing room.” (Jin10)

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