The high price of futures is due to the weakness of the US dollar and the uncertainty of economic recovery.

SMM: COMEX gold futures closed higher on Wednesday, rebounding from the previous session's sharp decline as the dollar weakened and uncertainty surrounding the US election and global economic recovery boosted the attractiveness of safe-haven gold.

The most actively traded COMEX12 monthly gold futures closed up $12.70, or 0.67%, at $1907.30 an ounce at 13:30 New York time.

December silver futures closed up $0.266, or 1.10%, to settle at $24.395 an ounce.

December palladium futures closed up $22, or 0.94%, to settle at $2366.3 an ounce.

January platinum futures closed down $9.90, or 1.13%, to settle at $863.4 an ounce.

In addition, the COMEX12 monthly copper contract closed up $0.006, or 0.2%, at $3.0505 a pound.

BartMelek, head of commodities strategy at TD Securities, said: "the dollar index fell on the day, yields fell to support gold, and we also saw some technical buying, probably because yesterday's correction went a little too far."

Gold fell 1.8% on Tuesday as the dollar was boosted by a stalemate in negotiations over the u.s. stimulus package.

The dollar fell against major currencies, as did the yield on benchmark 10-year Treasuries.

BartMelek added: "No matter who wins the election, whether Democrats or Republicans, we will see stimulus measures, the fact is that the United States needs a stimulus package, although it seems doubtful to have any meaningful stimulus package before the election."

Us Treasury Secretary Nuchin said on Wednesday that it seemed unlikely to reach an agreement on a plan to mitigate the economic impact of the novel coronavirus pandemic before the November 3 presidential election.

Nuchin said that he and House Speaker Pelosi still have "great differences" on some issues and that it will be difficult to reach an agreement on the stimulus package before the election.

European countries are extending restrictions far beyond social networking, including school closures, canceling surgeries and recruiting large numbers of student medical staff. because the already overwhelmed authorities are facing the nightmare of a resurgence of the novel coronavirus epidemic in winter.

Gold, seen as a hedge against inflation and currency depreciation, has climbed 25% so far this year as the world has taken unprecedented stimulus measures to ease the impact of the epidemic on the economy.

JeffWright, an analyst at GoldMiningInc, said gold recovered some of its recent losses, mainly because of a weaker dollar and slim hopes of a bipartisan stimulus deal ahead of this year's presidential election.

The dollar index fell on Wednesday, a day after its biggest one-day percentage gain in three weeks and the euro fell to its lowest level in a week. as global stock markets are cautious about dwindling hopes for the novel coronavirus vaccine or the upcoming fiscal stimulus in the United States.

The labour department reported that the final demand producer price index ((PPI)) rose 0.4 per cent last month, following a 0.3 per cent rise in August. In the 12 months to September, PPI rose 0.4 per cent after falling 0.2 per cent in August. Economists had predicted that PPI rose 0.2 per cent in September from the previous month and 0.2 per cent from a year earlier. But the data does not seem to give the dollar a boost.

At the same time, Federal Reserve Vice Chairman Clarida's comments also put pressure on the dollar.

Federal Reserve Vice Chairman Clarida said on Wednesday that US economic data since May had been "unexpectedly strong", although it could take another year for output to return to its pre-epidemic peak.

He said the US economy was still in a deep trough and needed time to climb out. In the case of GDP, it could take "a year" and the unemployment rate could take three years.

JamesHatzigiannis, a senior market analyst at PloutusCapitalAdvisors, said that for gold, the market is still waiting for clearer trading guidance, and for now, the slim hope of a stimulus deal before the US election has the greatest impact on gold prices.

"in the coming month or so, the gold material will generally fluctuate in a range, and the market is still waiting for the result of the election," he said. "

"if Biden wins the election, the price of gold will go higher and the stock market will be full of unease."