Ktsdesign | Science Photograph LibraryGold touched document costs as worries over points such because the coronavirus pandemic in addition to U.S.-China tensions weighed on investor sentiment.Within the morning of Asian buying and selling hours on Monday, spot gold traded at about $1,931.11 per ounce after earlier buying and selling as excessive as $1,943.9275 per ounce. These ranges eclipsed the earlier document excessive price set in September 2011.Gold futures have been additionally up 1.54% to $1,926.70.In a be aware circulated earlier than the brand new highs, Commonwealth Bank of Australia’s Vivek Dhar mentioned the autumn in U.S. 10-year actual yields has been the “most vital driver” amongst different elements, equivalent to a weakened U.S. greenback and safe-haven demand being lifted. The yield on the benchmark 10-year Treasury be aware final sat at 0.5856%. Towards a basket of its friends, the U.S. greenback was at 93.906. The Japanese yen traded at 105.60 towards the buck after strengthening sharply late final week from ranges above 106.40 per greenback.”The destructive relationship between long run US actual yields and gold futures has held up pretty properly over the long run. That’s as a result of when long run US actual yields enhance, gold is much less enticing relative to US curiosity bearing securities since gold has no revenue incomes capacity,” mentioned Dhar, who’s a mining and vitality commodities analyst on the agency. “The autumn in US 10 yr actual yields is primarily being pushed by a rise in US 10 yr inflation expectations.”Johan Jooste of The International CIO Workplace advised CNBC’s “Street Indicators Asia” on Monday that the “alternative price of holding gold is nearly zero” with Treasury yields at their present low ranges. Nonetheless, he added that there is a “horrible feeling of chasing it a bit after the very fact” if traders enter the gold market now.”We have mentioned purchase on dips, however … it is a troublesome factor to do now as a result of … you in all probability have missed out considerably,” mentioned Jooste, who’s chief funding officer on the agency.The strikes in costs of the valuable metallic got here as tensions have been heating up between Washington and Beijing. China introduced on Friday that it ordered the United States to close its consulate in Chengdu, following the U.S. demanding the closure of the Chinese language consulate in Houston.Previous that, Secretary of State Mike Pompeo additionally slammed China in a speech on Thursday. He mentioned Washington will not tolerate Beijing’s makes an attempt to usurp world order.In the meantime, the variety of coronavirus circumstances globally continues to rise. Greater than 16 million individuals all over the world have been contaminated by the coronavirus, with the U.S. accounting for roughly 1 / 4 of that determine, in response to information compiled by Johns Hopkins College.— CNBC’s Weizhen Tan contributed to this report.