Gold prices edged up on Wednesday as a recent rally in the U.S. dollar and Treasury yields hit a pause, while rising coronavirus cases worldwide also boosted appeal for the safe-haven metal.
Fundamentals
Spot gold rose 0.1% to $1,856.86 per ounce by 0052 GMT, while U.S. gold futures gained 0.8% to $1,858.10.
Benchmark 10-year Treasury yields pulled back from 10-month highs, dragging the dollar lower and making gold cheaper for other unit holders.
Global coronavirus infections rose to more than 91 million, with several Asian and European countries enforcing stricter restrictions to curb the spread of the virus.
The Donald Trump administration said on Tuesday it is releasing millions of Covid-19 vaccine doses it had been holding back for second shots and urged states to offer them to all Americans over age 65 or with chronic health conditions.
The U.S. House of Representatives plans to vote as soon as Wednesday on an article of impeachment charging President Trump with inciting insurrection after his supporters stormed the Capitol.
U.S. job openings fell moderately in November, but mounting layoffs amid rampant Covid-19 infections supported views that the labor market recovery from the pandemic was stalling.
The U.S. economy could see a strong rebound in the second half of this year as vaccinations become widely available, but the virus is still driving the economy and monetary policy will remain accommodative, Boston Federal Reserve Bank President Eric Rosengren said Tuesday.
Silver was steady at $25.57 an ounce. Platinum rose 0.3% to $1,078.80, while palladium eased 0.4% to $2,382.44.