Gold drops as investors look to Washington for US stimulus deal

0:00
play article
Subscribers can listen to this article
Jack Vearey/ Getty

Gold fell after signs of progress in US stimulus talks aimed at reaching a deal ahead of the looming presidential election.

Speaker Nancy Pelosi and Treasury Secretary Steven Mnuchin are narrowing their differences on a stimulus deal, a Pelosi aide said Monday. US equity futures advanced and the dollar steadied as optimism about the package spurred risk appetite.

Gold has held in a narrow range during October amid the fraught Washington talks, a contentious US election season and uncertainty around the global economy’s recovery from the coronavirus pandemic.

“Long-term investors have shifted focus on what the November election outcome means for stimulus later, with a Democrat victory seen boosting gold’s sentiment with a very large stimulus package,” Phillip Futures Pte. wrote in an emailed note.

Spot gold fell 0.3% to $1 899.17 an ounce by 10:32 a.m. in Shanghai. Silver and palladium were little changed, while platinum fell.

We live in a world where facts and fiction get blurred
In times of uncertainty you need journalism you can trust. For only R75 per month, you have access to a world of in-depth analyses, investigative journalism, top opinions and a range of features. Journalism strengthens democracy. Invest in the future today.
Subscribe to News24
ZAR/USD
15.25
(-0.09)
ZAR/GBP
20.29
(-0.13)
ZAR/EUR
18.23
(-0.10)
ZAR/AUD
11.25
(-0.23)
ZAR/JPY
0.15
(-0.04)
Gold
1787.51
(+0.09)
Silver
22.67
(+0.11)
Platinum
965.22
(+0.30)
Brent Crude
48.27
(+0.96)
Palladium
2413.01
(+0.60)
All Share
57822.50
(-0.17)
Top 40
53021.58
(-0.12)
Financial 15
11577.71
(-0.58)
Industrial 25
79894.95
(-0.12)
Resource 10
52804.55
(+0.03)
All JSE data delayed by at least 15 minutes morningstar logo
Company Snapshot
Voting Booth
Please select an option Oops! Something went wrong, please try again later.
Results
Yes, and I've gotten it.
22% - 348 votes
No, I did not.
51% - 821 votes
My landlord refused
28% - 448 votes
Vote