Prospects for Improved Egypt-Sudan Trade Ties

The Eshkeet crossing on the Egyptian-Sudanese border. Asharq Al-Awsat
The Eshkeet crossing on the Egyptian-Sudanese border. Asharq Al-Awsat
TT

Prospects for Improved Egypt-Sudan Trade Ties

The Eshkeet crossing on the Egyptian-Sudanese border. Asharq Al-Awsat
The Eshkeet crossing on the Egyptian-Sudanese border. Asharq Al-Awsat

Egypt and Sudan have concluded trade talks described as successful following months of chill in the economic relations of the two neighboring countries.

Sudanese Minister of Trade Hatim Al-Sir, who was in Egypt to attend a forum in the resort of Sharm el-Sheikh, met with his Egyptian counterpart Tareq Qabil in Cairo on Thursday.

The two ministers discussed ways to revive economic agreements between the two countries.

They agreed to hold technical meetings at the level of experts, followed by a joint ministerial committee meeting in order to announce a trade and economic deal that solves all pending issues.

Trade relations between the two countries suffered from a chill after Sudan’s ban last year of the import of Egyptian products. This prompted a similar move by Cairo which stopped the entry of several Sudanese products that used to reach the Egyptian market without permits and licenses.

Following Thursday’s talks with Qabil, Al-Sir said that the Sudanese leadership is keen on the reactivation of trade ties and the increase in trade volume with Egypt.

As for the Egyptian minister, he stressed Cairo’s keenness on activating and implementing agreements signed between the two countries.



Gold Hits Four-week Peak on Safe-haven Demand

A view shows ingots of 99.99 percent pure gold in a workroom during production at Krastsvetmet precious metals plant in the Siberian city of Krasnoyarsk, Russia, May 23, 2024. REUTERS/Alexander Manzyuk
A view shows ingots of 99.99 percent pure gold in a workroom during production at Krastsvetmet precious metals plant in the Siberian city of Krasnoyarsk, Russia, May 23, 2024. REUTERS/Alexander Manzyuk
TT

Gold Hits Four-week Peak on Safe-haven Demand

A view shows ingots of 99.99 percent pure gold in a workroom during production at Krastsvetmet precious metals plant in the Siberian city of Krasnoyarsk, Russia, May 23, 2024. REUTERS/Alexander Manzyuk
A view shows ingots of 99.99 percent pure gold in a workroom during production at Krastsvetmet precious metals plant in the Siberian city of Krasnoyarsk, Russia, May 23, 2024. REUTERS/Alexander Manzyuk

Gold prices rose to a near four-week high on Thursday, supported by safe-haven demand, while investors weighed how US President-elect Donald Trump's policies would impact the economy and inflation.

Spot gold inched up 0.4% to $2,672.18 per ounce, as of 0918 a.m. ET (1418 GMT). US gold futures rose 0.7% to $2,691.80.

"Safe-haven demand is modestly supporting gold, offsetting downside pressure coming from a stronger dollar and higher rates," UBS analyst Giovanni Staunovo said.

The dollar index hovered near a one-week high, making gold less appealing for holders of other currencies, while the benchmark 10-year Treasury yield stayed near eight-month peaks, Reuters reported.

"Market uncertainty is likely to persist with the upcoming inauguration of Donald Trump as the next US president," Staunovo said.

Trump is considering declaring a national economic emergency to provide legal justification for a series of universal tariffs on allies and adversaries, CNN reported on Wednesday, citing sources familiar with the matter.

Trump will take office on Jan. 20 and his proposed tariffs could potentially ignite trade wars and inflation. In such a scenario, gold, considered a hedge against inflation, is likely to perform well.

Investors' focus now shifts to Friday's US nonfarm payrolls due at 08:30 a.m. ET for further clarity on the Federal Reserve's interest rate path.

Non-farm payrolls likely rose by 160,000 jobs in December after surging by 227,000 in November, a Reuters survey showed.

Gold hit a near four-week high on Wednesday after a weaker-than-expected US private employment report hinted that the Fed may be less cautious about easing rates this year.

However, minutes of the Fed's December policy meeting showed officials' concern that Trump's proposed tariffs and immigration policies may prolong the fight against rising prices.

High rates reduce the non-yielding asset's appeal.

The World Gold Council on Wednesday said physically-backed gold exchange-traded funds registered their first inflow in four years.

Spot silver rose 0.7% to $30.32 per ounce, platinum fell 0.8% to $948.55 and palladium shed 1.4% to $915.75.