On Tuesday gold futures eased off yesterday's seven-week high, but losses were capped amid mounting confidence that the Federal Reserve will hold off on hiking interest rates until 2016. Copper were also lower after official numbers showed that China's trade surplus widened more than expected last month.
Gold for December delivery on the Comex shed 0.67%, to trade at $1,156.70 a troy ounce during European morning hours. Comex silver for December delivery was last at $15,740 an ounce, down 0.78%.
On Monday, gold surged to $1,168.60, the most since August 24, before ending at $1,164.50, up $8.60, or 0.74%.
Comex copper for December delivery dipped 0.48%, to hit $2.404 a pound during morning hours in London.
Data released earlier showed that China's trade surplus widened to $60.3 billion last month from $60.2 billion in August, compared to estimates for a surplus of $46.8 billion.
Chinese exports slumped 3.7% from a year earlier, better than forecasts for a decline of 6.3%, while imports dropped 20.4%, far worse than expectations for a drop of 15.0%.
A slowdown in domestic demand signaled a recovery in the broader economy remains vulnerable and may need further government support.
Meanwhile, China’s copper arrivals in September rose nearly 24% from August to 460,000 metric tons, signaling that demand for the metal remains robust despite recent market turmoil.
