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PRECIOUS-Gold steady near highest since November 2011 on flight to safety

Published 07/08/2020, 09:17 AM
Updated 07/08/2020, 09:20 AM
© Reuters.
XAU/USD
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XAG/USD
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GC
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SI
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GLD
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DXY
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July 8 (Reuters) - Gold held firm near a more than
eight-year high on Wednesday, as safe-haven demand was bolstered
by worries over surging COVID-19 cases and hopes of more
stimulus measures to combat the economic blow.

FUNDAMENTALS
* Spot gold XAU= was steady at $1,793.56 per ounce by 0031
GMT after hitting its highest since November 2011.
* U.S. gold futures GCv1 eased 0.2% to $1,806.30 per
ounce.
* The U.S. coronavirus outbreak crossed a grim new milestone
of over 3 million confirmed cases on Tuesday as more states
reported record numbers of new infections, and Florida faced an
impending shortage of intensive care unit hospital
beds. * Lockdown measures were reimposed in Australia's
second-biggest city, Melbourne, as officials scramble to contain
the coronavirus outbreak. * Three Fed officials expressed concern that the surge in
infections threatens to pinch consumer spending and job gains
just as some stimulus programmes are set to expire.
* One Fed policymaker pledged more support ahead from the
U.S. central bank. * Gold tends to benefit from widespread stimulus measures
from central banks because it is widely viewed as a hedge
against inflation and currency debasement.
* Indicative of sentiment, SPDR Gold Trust GLD , the
world's largest gold-backed exchange-traded fund, said its
holdings rose 0.66% to 1,199.36 tonnes on Tuesday. GOL/ETF
* Asian stocks were set for a mixed open, as an increase in
new coronavirus cases in some parts of the world cast doubts
over the economic recovery. MKTS/GLOB
* The dollar index .DXY rose 0.1% against a basket of
major currencies. USD/
* Palladium XPD= fell 0.1% to $1,914.06 per ounce,
platinum XPT= dropped 0.5% to $831.17 and silver XAG= lost
0.2% to $18.26.

DATA/EVENTS (GMT)
1900 US Federal Reserve issues Consumer Installment
Credit for May

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