Log in
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Dynamic quotes 

MarketScreener Homepage  >  Commodities  >  Gold       XAUUSD


SummaryMost relevantAll NewsOther languagesMarketScreener Strategies

Gold rises on soft dollar, stimulus bets as virus risks grow

11/26/2020 | 08:33am EST
Gold bars are pictured on display at Korea Gold Exchange in Seoul

(Reuters) - Gold gained on a softer dollar on Thursday and as a mounting number of COVID-19 cases and their economic toll raised investor expectations of further fiscal and monetary support.

Spot gold was up 0.5% at $1,813.50 per ounce by 1305 GMT. U.S. gold futures were up 0.4% to $1,812.10.

The dollar index held close to near three-month lows, raising gold's appeal for other currency holders. Meanwhile, an extension of coronavirus restrictions in Germany and a weak growth forecast for Britain kept European shares flat. [USD/] [.EU]

Trading was expected to be thinned by the U.S. Thanksgiving holiday.

"We've had a relatively soft dollar and it hasn't given that much of a lift to gold during the decline. Now it's giving a little bit of a tailwind, giving it a lift back towards $1,860," said independent analyst Ross Norman.

"(Gold) has found its floor and there's some evidence of good buying at these lower levels. The lower price has stimulated good physical buying in the (Asian) markets."

U.S. Federal Reserve policymakers discussed how the central bank's asset purchases could be adjusted to provide more support for markets, according to the minutes of its Nov. 4-5 meeting.

Gold is considered a hedge against inflation likely to result from large stimulus.

"Persistently high numbers of new corona cases and extended lockdowns in many countries are increasing the need for further support in the form of monetary and fiscal policy. A vaccine will offer no quick-fix in that sense," said Commerzbank analyst Carsten Fritsch in a note.

"New stimulus measures are therefore likely to be set in motion in the near future, which should benefit gold. In this environment, gold is initially likely to trend sideways in a corridor of between $1,800 and $1,850."

Silver was up 0.3% to $23.37 an ounce, palladium rose 1.4% to $2,361.51, while platinum fell 0.4% to $959.62.

(Reporting by Asha Sistla in Bengaluru; editing by Barbara Lewis and Pravin Char)

By Asha Sistla

© Reuters 2020
Stocks mentioned in the article
ChangeLast1st jan.
EURO / US DOLLAR (EUR/USD) 0.18% 1.21254 Delayed Quote.-0.92%
GOLD 0.90% 1857.09 Delayed Quote.-2.45%
PALLADIUM 0.26% 2312 Delayed Quote.-5.32%
SILVER 5.07% 26.5115 Delayed Quote.-3.41%
THE PLATINUM GROUP PUBLIC COMPANY LIMITED -2.29% 2.56 End-of-day quote.4.07%
All news about GOLD
03:25pUPDATE : First Majestic Up Near 30% Amid Reports It Got A Break in Opening Round..
03:09pOREZONE GOLD : Closes $73.5 Million Financing
03:06pTSX recovers as materials, energy stocks gain
02:51pMillrock Near 52 Week Lows As Receives Cash and Share Payments; Australia-lis..
02:40pUPDATE : Dual Listed Kinross Gold Up 6% in U.S. as Boosts Investment in Wolfden ..
02:11pXimen to Acquire 25 Crown Grants Beside Kenville Gold Mine
01:39pROCKRIDGE BRIEF : Up 15% In Afternoon Frankfurt Trade After Intersecting 2.5 g/t..
01:31pGold dips as dollar becomes preferred safe-haven
01:29pDual Listed Barrick Gold Up Slightly In Pre-Market US Trade On Tanzanian Prod..
12:59pDual Listed Endeavour Silver Up 6% In Pre-Market As Provides 2021 Production ..
More news
Chart GOLD
Duration : Period :
Gold Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends GOLD
Short TermMid-TermLong Term