Gold attempts bids amid coronavirus woes-led risk-aversion.
US dollar’s haven demand returns, likely to cap gold’s upside.
Focus on virus updates and sentiment on global markets.
Gold (XAU/USD) has bounced-off daily lows near $1902, as the bulls fight back control amid a sell-off in the US Treasury yields, triggered by the coronavirus concerns-induced risk-aversion.The benchmark US 10-year Treasury yields drop further below the key 0.80% level, now trading at 0.768%, down 1.40% on a daily basis. The pessimism surrounding the American fiscal stimulus, election uncertainty and dwindling economic recovery weigh negative on the higher-yielding US rates and benefit the non-yielding gold.However, the further upside could remain elusive in the spot, as haven demand for the US dollar has returned in the overnight trades, with investors seeking safety in the buck ahead of next week’s US Presidential election.In the day ahead, the focus will remain on the […]
October 30, 2020 (updated October 30, 2020) Published by StockMan