05.11.201919:02:00UTC+00Gold Prices Slide On Tuesday

Risk is back on as gold prices retreated for a second session on Tuesday and the dollar traded higher, thanks to renewed optimism over U.S.-China trade talks.

Investor sentiment received a boost after the Financial Times reported that the U.S. is considering dropping tariffs on $112 billion of Chinese imports.

Spot gold was down $25.90 or 1.72 percent at $1,483.70 were down $25.95 or 1.72 percent at $1,485.15.

According to reports, U.S. President Donald Trump is eager to sign the trade agreement somewhere in the U.S. after Chile cancelled the Asia-Pacific Economic Cooperation summit due to local unrest.

Trump and Chinese President Xi Jinping are expected to meet in the U.S. soon to sign the first phase of a trade deal between the world's two largest economies.

The U.S. dollar was close to its highest in almost a week against a basket of rivals after recent data suggested the outlook for the world's largest economy is not as bad as some had feared.