Gold prices moved higher on Monday, rebounding after a severe setback that resulted in the biggest single-day loss in terms of percentage in two months on Friday.
Lower treasury yields and falling stock prices amid worries over rising coronavirus cases aided gold’s surge.
However, a stronger dollar limited gold’s uptick. The dollar index, which rose to 90.73, was up nearly 0.4% at 90.45 a little while ago.
Gold futures for February ended with a gain of $15.40 or about 0.8% at $1,850.80 an ounce.
Silver futures for March ended up $0.647 at $25.284 an ounce, while Copper futures for March settled at $3.5645 per pound, down $0.1090 from previous close.
Coronavirus cases have been rising in several countries across the world. In Germany, Chancellor Angela Merkel warned locals “these next winter weeks will be the hardest phase of the pandemic”.
Concerns about developments in Washington also weighed on stocks as Democrats prepare another attempt to remove President Donald Trump from office.
House Democrats are preparing to once again impeach Trump even though the president has less than two weeks left in his term.
After the siege of the U.S. Capitol building by Trump supporters last week, Democrats are concerned about additional incitement by the president in his final days in office.