Investing.com - Gold prices slipped on Tuesday as the dollar pared losses after reaching its lowest level since Aug. 2 in early trade after the U.S. and Mexico agreed on Monday to overhaul the North American Free Trade Agreement (NAFTA).
The new deal is expected to last 16 years and will be reviewed every six years pending its approval by Congress, according to U.S. Trade Representative Robert Lighthizer.
Gold Futures for December delivery traded?EUR?0.03% lower to?EUR?$1,215.6 per troy ounce?EUR?at 1:40AM ET (05:40 GMT) on the?EUR?Comex?EUR?division of the New York Mercantile Exchange.?EUR?Markets believe recent higher activity in gold options amid geopolitical tensions and a record-long bull market for U.S. equities suggest that investors are betting gold prices have found a floor.
The U.S. Dollar Index, which tracks the dollar against a basket of other currencies, was up 0.2% to 94.82.
A stronger dollar dampens demand for gold by making it more expensive for buyers holding other currencies.
Meanwhile, China’s net gold imports via Hong Kong fell about 45% in July from the previous month amid lacklustre demand, data showed on Monday.