Expectations that the Federal Reserve will increase stimulus continue to grow, but that is a long-term bullish indicator. Gold futures are trading lower on Thursday as investors looking for safety, bid up the U.S. Dollar, driving down demand for the dollar-denominated asset. Traders are saying that the greenback regained last week’s upside momentum as optimism over a coronavirus vaccine eroded.
Fear that the surge in coronavirus cases in the United States would lead to more economic restrictions and threaten the recovery, also weighed on demand for gold. The biggest bearish influence on the metal, in my opinion, is the lack of progress toward a new fiscal stimulus package.
At 14:16 GMT, December gold futures are trading $1856.50, down $17.40 or -0.93%. The Dollar’s Safe-Haven Appeal
The dollar is up on Thursday against it rivals, benefiting from uncertainties over a spike in new coronavirus cases in the United States and resultant restrictions.Rising […]
November 22, 2020 (updated November 22, 2020) Published by StockMan