Spot gold is extending its correction from mid-February highs just below the $1.357 mark and is already trading close to the $1.333 figure. A break below will open the way to $1.330, should the greenback continue its intraday ascent. As the USD’s potential still looks limited, there is a low chance for extending the retreat to the $1.315 area for the time being.
In the longer term, considering high in the stock markets, especially in Wall Street, gold may eventually regain its safe haven status, should the potential trade war start to pose a threat to the global economy. The medium term prospects will further depend on USD moves. So far, there no any significant signs of a reversal in the current in the greenback.