Gold edged lower for a second day Tuesday as investors shook off trade worries, with appetite for riskier assets boosted by additional efforts by China to stoke its economy.

Gold for June delivery on Comex GCM19, -0.27%  fell $3.60, or 0.3%, to $1,321.10 an ounce, while July silver SIN19, +0.01%  edged up $1.10, or 0.1%, to $14.65 an ounce.

The weaker tone comes as global equities staged gains after Chinese authorities said they would back special-purpose bond issuances by local governments as part of an effort to bolster economic growth. China’ government will step up efforts to accelerate financing of major projects through such bond issuance, which are used largely for infrastructure investment, the People’s Bank of China said in a statement, according to The Wall Street Journal (paywall).

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U.S. stock-index futures pointed to a positive start for Wall Street.

Gold snapped a nine-day winning streak on Monday, undercut by a continued rally for equities and a rebound by the U.S. dollar and Treasury yields. A stronger dollar can be a headwind for commodities priced in the unit as it makes them more expensive to users of other currencies.

Gold benefited from a sharp slide in Treasury yields last week as investors increasingly bet the Federal Reserve will move later this year to cut interest rates. Lower yields can be a positive for gold, reducing the opportunity cost of holding the metal.

Investors appeared to shrug off a lack of positive rhetoric around U.S.-China trade talks, which analysts said could reflect underlying optimism that a deal can be reached.

“Rising expectations of a formalized U.S.-China trade deal occurring this month could chip away at the gains enjoyed by safe-haven assets since late May, although the ensuing losses may be mitigated by concerns over the economic damage already inflicted by heightened U.S.-China trade tensions,” said Lukman Otunuga, research analyst at FXTM, in a Tuesday note.

From a technical perspective, Otunuga said gold appears to be on “standby” on the daily charts, with futures trading above $1,324 an ounce. If that level proves to be reliable support, gold has scope to rebound toward a 14-month high above $1,347, he said.

In other metals trade, July platinum PLN19, -0.09%  fell $1.60, or 0.2%, to $803.60 an ounce, while September palladium PAU19, -0.35%  fell $5, or 0.3%, to $1,381.80 an ounce.

July copper HGN19, +1.15%  was off 2.85 cents, or 1.1%, to $2.69 a pound.