Gold opened higher Wednesday as demand for the safe-haven asset was boosted by worries over a surge in coronavirus infections and hopes of more stimulus measures to combat the economic blow.

Total number of Covid-19 patients in India crossed over 4.50 lakh while fatalities climbed above 14,400 levels.

MCX Gold futures were up 0.04 per cent or Rs 19 at Rs 48,251 per 10 grams. However, Silver futures were down 0.16 per cent or Rs 80 at 48,704 per kg.

Central banks across the globe have taken aggressive stimulus measures and kept interest rates low helping gold prices surge more than 16 per cent this year in the international market, as the precious metal is widely viewed as a hedge against inflation and currency debasement.

US Treasury Secretary Steven Mnuchin said the next stimulus bill will focus on getting people back to work quickly and that he would consider a further delay of the tax filing deadline.

Meanwhile, SPDR Gold Trust, the world’s largest gold-backed exchange-traded fund, said its holdings rose 0.28 per cent to 1,169.25 tonnes on Tuesday.


Source link