Investing.com - Gold prices plunged more than $60 per ounce on Thursday as investors cashed out their long positions in a scramble to cover margins and losses on Wall Street amid the U.S. ban on most incoming European travelers.
* Gold futures for April delivery on New York’s COMEX were down $68.50, or 4.1%, at $1,575.25 per ounce by 11:23 AM ET (15:23 GMT). It was the third straight day of losses for gold, which lost about 5% since the start of the week amid the tumble on Wall Street. U.S. stocks plunged about 7% on Thursday, reacting to the Trump administration’s ban on travellers from 26 European countries, in an attempt to contain the spread of the coronavirus.
* “Gold prices are in freefall as investors scramble for cash,” said Ed Moya, analyst at online trading platform OANDA. “Gold investors are scratching their head as the fear trade is only seeing steady flows into Treasuries right now. Gold should see some technical buying around the $1,550 area, but if that breaks, we could easily see another prices slide another $100 to $1,450.”