Proudly sponsored by

Gold edges higher as virus variant threatens global recovery

Spot gold rose 0.3% to $1 818.25 an ounce by 10:27 a.m. in Shanghai. Platinum gained 1%, while palladium and silver steadied.
Image: Andrey Rudakov/Bloomberg

Gold rose as the spread of the delta coronavirus variant threatens the world’s exit from the pandemic, boosting haven demand.

New waves of Covid-19 are challenging previous optimistic assumptions about the pace of the global economic recovery. Highlighting the change in investor mood, long-term Treasury yields plunged to the lowest levels since February on Monday — aiding non-interest bearing gold — and the S&P 500 fell the most in two months.

The US on Monday warned citizens against travel to the UK and Indonesia, while hospitalisations in Texas rose the most since April and Southeast Asia reels from a wave of infections. The resurgent virus threatens to delay re-opening plans, and gives central banks more incentive to extend ultra-easy monetary policy.

Bullion has rebounded in the past month to trade above $1 800 an ounce after a volatile year tied to shifting expectations for economic prospects and the pace of monetary tightening.

Spot gold rose 0.3% to $1 818.25 an ounce by 10:27 a.m. in Shanghai. Platinum gained 1%, while palladium and silver steadied.

© 2021 Bloomberg

COMMENTS   1

You must be signed in to comment.

SIGN IN SIGN UP

Gold and PGM(s) are going to run again.

Our genius JSE analysts will sell it now in panic and buy at a higher price in a weeks’ time.

They will rather buy Retailers where average of 10% were looted and burnt out, Banks which contains a lot of local retail debt and Insurers which will have long backlog of life insurance claims and looting claims.

End of comments.

LATEST CURRENCIES  

USD / ZAR
GBP / ZAR
EUR / ZAR
BTC / USD

SEARCH COMPANIES
Enter company name or share code:

ECONOMIC DATA  

  CPIThe Consumer Price Index (CPI) measures monthly changes in prices for a range of consumer products Aug 2021 4.60%
  CPI ex OERThe Consumer Price Index excluding Owners’ Equivalent Rent (CPI ex OER) measures monthly changes in prices for a range of consumer products excluding Owners’ equivalent rent that measures changes in the cost of owner-occupied housing Aug 2021 5.20%
  RepoThe rate at which the Reserve Bank lends money to the country’s commercial banks and set by the Reserve Bank’s Monetary Policy Committee. Sep 2021 3.50%
  Prime lendingThe Prime Lending Rate is the rate of interest that commercial banks will charge their clients when issuing a loan (home loan or vehicle finance) Sep 2021 7.00%
INSIDER SUBSCRIPTIONS APP VIDEOS RADIO / LISTEN LIVE SHOP OFFERS WEBINARS NEWSLETTERS TRENDING PORTFOLIO TOOL CPD HUB

Follow us:

Search Articles:
Click a Company: