Gold Futures Settle At Over 7-year High

Gold prices rose sharply on Monday, extending gains to a third successive session, amid hopes central banks across the globe will announce further stimulus to revive the economies that are falling into a deep recession due to the coronavirus outbreak.

Gold futures recorded their highest settlement since December 2012, as investors picked up the safe-have commodity even as global stocks rebounded after data showed a drop in new coronavirus cases in some of the virus hot spots in the European region.

The dollar index, despite a choppy ride, held in positive territory. It was last seen at 100.70, up 0.12% from previous close, after moving between 100.48 and 100.93.

Gold futures ended up $48.20, or about 2.9%, at $1,693.90 an ounce, the highest settlement price since December 17, 2012.

Gold futures for June ended up $8.00, or about 0.5%, at $1,645.70 an ounce on Friday, after scoring a gain of 2.9% a session earlier.

Silver futures for May ended up $0.675 at $15.193 an ounce, while Copper futures for May settled at $2.2175 per pound, gaining $0.0250 for the session.

With dismal monthly jobs data from the Labor Department on Friday, and weak economic data from the euro area suggesting an imminent deep recession, the demand for the safe-haven asset has increased of late. Notwithstanding a few weak spells now and then, gold has moved up significantly in recent weeks.

The number of coronavirus-related deaths in New York State fell to 594 on Sunday from 630 on Saturday, reflecting the first daily decrease.

President Donald Trump warned the country could be headed into its “toughest” week but expressed hope the country was seeing a “leveling off” of the coronavirus crisis.

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