Monday, July 26, 2021

Gold prices are rising amid US stimulus hopes for a Corona vaccine

Gold prices rose slightly today, Monday, as weak US job data supported hopes for more fiscal stimulus, although optimism about the deployment of vaccines to prevent the Corona virus curbed the gains.

The spot price of gold rose 0.2 percent to $ 1841.93 an ounce, while US gold futures rose 0.2 percent to $ 1844.20.

“The slowdown in job growth and the tightening of personnel rules greatly overrides the obstacles to action by the US Congress,” said Stephen Ince, chief global market planner at Axi Financial Services.

Data released on Friday showed the fewest new jobs in six months for the US economy in November.

Talks of a fresh package to mitigate the fallout from the pandemic gathered momentum on Friday, as lawmakers from both parties were working on finalizing a $ 908 billion bill.

Gold is considered a hedge against inflation that may result from huge stimulus.

However, the metal’s gains were limited as Britain prepares to become the first country to use the Pfizer / Biontech vaccine for Covid-19 disease this week.

Silver fell 0.1 percent to $ 24.15 an ounce, platinum fell 1 percent to $ 1044, while palladium rose 0.7 percent to $ 2,359.05 an ounce.

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