SMM: COMEX gold futures rose for the second day in a row on Monday, with silver hitting a nearly four-year high as a surge in new crown virus infections and expectations of increased stimulus measures supported safe-haven demand.
Comex August gold futures rose 7. 4 U.S. dollars, or 0. 4 percent, to settle at $1817.4 an ounce at 13:30 new York time. It was the highest settlement price for the most actively traded contract since July 8, when it rose above $1820, the highest level since September 2011.
MichaelMatousek, head of the U.S.GlobalInvestors trader, said: "the current exponential increase in gold's popularity is entirely due to all inflationary factors: the yield curve, money printing, economic concerns and the epidemic."
"when you see something in a bull market, you want to buy in a pullback. Many people have a target of $1825; if the gold price breaks through that level, it may rise even higher. "
Gold is now below its all-time high of $1920.30 a troy ounce set in September 2011, mainly boosted by a wave of monetary stimulus.
Gold is also well supported by signs that EU member states are willing to compromise on a 1.8 trillion euro ($2 trillion) stimulus package for the new crown epidemic.
Who's daily epidemic report shows that as of 10:00 central European time on the 20th (16:00 in Beijing), the number of newly confirmed cases outside China increased by 229649 from the previous day to 14262790, while the number of deaths outside China increased by 5111 over the previous day to 599038.
Globally, the number of confirmed new crown cases increased by 229780 over the previous day to 14348858, and the number of deaths increased by 5111 over the previous day to 603691.
For other precious metals, September silver futures rose 42.8 cents to settle at $20.192 an ounce, the highest close for the most actively traded contract since August 2016, as safe-haven funds continued to rise.
The recovery in industrial demand, supply concerns in Latin America and rising cases of the new crown virus threaten its supply chain have also helped push up silver prices, Soci é t é G é n é rale said in a report.
COMEX10 monthly platinum futures rose $8.30 to settle at $857.9 an ounce.
September palladium futures rose $37.70 to settle at $2109.40 an ounce.
In addition, COMEX9 copper for monthly delivery closed up 1. 10 cents at $2.9155 a pound.
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