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PRECIOUS-Gold ticks up on softer dollar, coronavirus woes

Published 10/27/2020, 09:34 AM
Updated 10/27/2020, 09:40 AM
© Reuters.
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Oct 27 (Reuters) - Gold prices gained in early Asia trade on
Tuesday, supported by a weaker dollar and concerns stemming from
the surging coronavirus spread globally and its economic
fallout.

FUNDAMENTALS
* Spot gold XAU= rose 0.3% to $1,907.77 per ounce by 0116
GMT.
* U.S. gold futures GCv1 were up 0.2% at $1,909.20.
* The dollar index .DXY slipped 0.1% against a basket of
currencies, making gold cheaper for holders of other currencies.
USD/
* The United States, Russia, France and many other countries
are setting records for coronavirus infections as a tidal wave
of cases washes over parts of the Northern Hemisphere, forcing
some countries to impose new curbs. * U.S. House of Representatives Speaker Nancy Pelosi is
hopeful that congressional Democrats and the Trump
administration can reach agreement on the coronavirus relief
bill before the elections, however White House economic adviser
Larry Kudlow told reporters on Monday that talks have slowed.
* Gold tends to benefit from widespread stimulus measures
from central banks because it is widely viewed as a hedge
against inflation and currency debasement.
* Sales of new U.S. single-family homes unexpectedly fell in
September after four straight monthly increases, but the housing
market remains supported by record low mortgage rates and demand
for more space as the COVID-19 pandemic drags on. * Britain said on Monday that time was very short to bridge
the significant remaining gaps on key issues in talks with the
European Union, as EU chief negotiator Michel Barnier heads to
London to continue negotiations. * Silver XAG= rose 0.5% to $24.43 per ounce, while
platinum XPT= climbed 1% to $878.50 and palladium XPD= was
up 0.3% to $2,358.03.

DATA/EVENTS (GMT)
1230 US Durable Goods Sept
1400 US Consumer Confidence Oct

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