Gold Prices Slip on News of Phase One Trade News;U.K. Election in Focus

Gold prices are modestly down on Friday in Asia after reports said an agreement in principle had been reached on a phase one trade deal between the U.S. and China.The written text of the phase one agreement is still being finalized, reports said, but the U.S. has agreed not to impose more tariffs on China this weekend as originally planned.Since the week began, attention across markets has been riveted on the trade war and how the Trump administration would proceed come Sunday, the deadline for the imposition of tariffs on another $156 billion worth of Chinese goods.The yellow metal traded higher prior to the trade news amid some downbeat U.S. economic data, including jobless claims that rose more than forecast.The safe-haven metal lost momentum however, after the trade news broke.Brexit developments were also closely monitored as Prime Minister Boris Johnson won a majority of parliamentary seats and will continue his attempt to resolve the Brexit crisis.A strong majority would give Johnson plenty of support to pass a Brexit deal through Parliament.In the U.S., the conclusion of the FOMC meeting was also in focus this week. As expected, the Fed made no change In interest rates and suggested that there were no rate-cut plans on the table for 2020.