Gold edged higher as investors assessed the resilience of the global economic recovery,
with Covid-19 cases hitting a pandemic record.
Bullion is heading for its first annual loss in three years as central banks start to dial back pandemic-era stimulus to contain inflation. The S&P 500 notched its 69th record close of 2021, suggesting investors remain relatively sanguine about risks from omicron.
“Gold has turned rangebound near $1,810 an ounce, reflecting the relative stability in the US dollar index and bond yields amid a lack of fresh triggers,” said Madhavi Mehta, a senior analyst at Kotak Securities Ltd. “Virus concerns have subsided, however rising cases and restrictions to limit the spread is a cause of concern.”
Spot gold advanced 0.1% to $1,814.10 an ounce at 8:00 am in London, after rising 0.1% on Monday. It’s down more than 4% this year. The Bloomberg Dollar Spot Index was little changed, as was the silver.
Palladium plunged 2.9% and platinum also falls.