SMC Global said that gold prices bounced back on Monday from a nine-month low, as the dollar softened, while passage of a long awaited US coronavirus stimulus package boosted the bullion’s appeal as a hedge against inflation.
“Improved sentiment from the passing of the $1.9 trillion stimulus and a dip in the US dollar index are helping gold prices. Gold
Ravindra Rao of Kotak Securities said that while gold edged up on back of progress on the US stimulus, weighing on price is continuing ETF outflows, upbeat non-farm payrolls data and higher US and global bond yields.
“GoldThe US Senate on Saturday passed President Joe Biden‘s $1.9 trillion Covid-19 relief plan, with the final bill including $400 billion in one-time payments of $1,400 to many Americans. US 10-year yields, easing from an over one-year peak hit on Friday, also provided support.
Holdings of the world’s largest gold-backed exchange-traded fund, SPDR Gold