Gold surges nearly 3%, wings its way to fresh 7-year-peak as pandemic fear sparks



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Gold surges nearly 3%, wings its way to fresh 7-year-peak as pandemic fear sparks

On Monday, the 24th of February 2020, the precious metal, gold futures’ prices had bolstered its safe-haven bid as the US Dollar greenback had faced off a flurry of controversial narratives as a consequential repercussion of ascending coronavirus cases outside China, while the precious metal had flied up as much as 2.8 per cent to climb on to its highest level in more than seven years.

In point of fact, followed by a fleshed-up opening of the day, spot gold futures’ prices kept surging throughout the session and reached just a notch shy of $1700 per barrel at some point of the day, however a profit-taking sell-off at the end of the day had pared earlier gains and the US gold futures’ prices settled down 1.7 per cent higher at $1,676 an ounce.

Besides, the spot gold (XAU) futures’ prices had wrapped up the day 1.7 per cent higher to $1,671.35 an ounce after reaching a session high of $1,688.66, its highest level since January 2013. Meanwhile, referring to a sharp rise in coronavirus cases in Italy, Iran, S.

Korea with Iraq and Afghanistan reporting their first cases while a search for “patient zero” in Italy had failed to conceive fruits, a senior market strategist at RJO Futures, Bob Haberkorn said, “The markets are spooked right now.

The concern is not about the virus precisely, it is from the economic standpoint. The Dow Jones is down about 1,000 points, the bond yields are also lower. ”