Gold Rises as US Dollar Weakens, Investors Await a US Stimulus Deal

Gold rose Thursday, December 3, to its highest level in more than a week, as the dollar fell to its lowest level in several years due to hopes of soon distributing a vaccine for the Coronavirus, while investors continued to follow the developments of the stimulus agreement in the United States.

Spot gold rose 0.1% to $ 1832.11 an ounce by 06:40 GMT, after reaching its highest level since November 24 at $ 1837.01. Gold futures in the US rose 0.3% to $ 1836.20.

The Republicans and Democrats in Congress failed to agree on a new package to mitigate the repercussions of the Coronavirus, but there are initial indications that a proposal worth $ 908 billion, which has bipartisan approval, may gain momentum as a negotiating tool.

He added that optimism about a vaccine for Covid-19 may have a limited impact on the yellow metal in the future, as the markets have taken most of it into account.

And health experts in the United States welcomed the emergency approval in Britain of a vaccine developed by Pfizer, in a sign that regulatory agencies in the United States will quickly track their impact.

Hopes of stimulus and progress on the vaccine pushed the US dollar near its two-and-a-half-year low, reducing the cost of gold to holders of other currencies.

As for the other precious metals, silver fell 0.7% to $ 23.94 an ounce, while platinum fell 0.3% to $ 1011.72, and palladium was almost unchanged at $ 2398.13.