Moneycontrol

Budget 2021

Associate Partners:

  • SMC
  • Samsung
  • Volvo

Moneycontrol

Budget 2021

Associate Partners:

  • SMCSamsungVolvo
Webinar :Join an expert panel for a webinar on Smart investments for a secure retirement January 28, 2021. Register now!

Gold steadies in tight range as virus fears offset solid US jobs data

Spot gold was unchanged at $1,775.12 per ounce by 0232 GMT. U.S. markets are closed on Friday for observing Independence Day on July 4.

July 03, 2020 / 04:26 PM IST

Gold was flat, trading in a narrow $4 range on Friday, as worries over surging coronavirus cases globally and lingering trade tensions between the United States and China overshadowed strong U.S. jobs data.

Spot gold was unchanged at $1,775.12 per ounce by 0232 GMT. U.S. markets are closed on Friday for observing Independence Day on July 4.

U.S. gold futures eased 0.1% to $1,787.80.

"Nagging doubts appear to remain in investors' minds about the explosion of Covid-19 cases in the U.S. sunbelt states and it's possible negative effect on the recovery going forward," said Jeffrey Halley, a senior market analyst at OANDA.

"Geopolitical considerations are also to the fore... with a holiday in the U.S., and the weekend upon us, some haven directed buying of gold is definitely evident."

Close

COVID-19 Vaccine

Frequently Asked Questions

View more
How does a vaccine work?

A vaccine works by mimicking a natural infection. A vaccine not only induces immune response to protect people from any future COVID-19 infection, but also helps quickly build herd immunity to put an end to the pandemic. Herd immunity occurs when a sufficient percentage of a population becomes immune to a disease, making the spread of disease from person to person unlikely. The good news is that SARS-CoV-2 virus has been fairly stable, which increases the viability of a vaccine.

How many types of vaccines are there?

There are broadly four types of vaccine — one, a vaccine based on the whole virus (this could be either inactivated, or an attenuated [weakened] virus vaccine); two, a non-replicating viral vector vaccine that uses a benign virus as vector that carries the antigen of SARS-CoV; three, nucleic-acid vaccines that have genetic material like DNA and RNA of antigens like spike protein given to a person, helping human cells decode genetic material and produce the vaccine; and four, protein subunit vaccine wherein the recombinant proteins of SARS-COV-2 along with an adjuvant (booster) is given as a vaccine.

What does it take to develop a vaccine of this kind?

Vaccine development is a long, complex process. Unlike drugs that are given to people with a diseased, vaccines are given to healthy people and also vulnerable sections such as children, pregnant women and the elderly. So rigorous tests are compulsory. History says that the fastest time it took to develop a vaccine is five years, but it usually takes double or sometimes triple that time.

View more
Show

Florida reported more than 10,000 new COVID-19 cases on Thursday, while over 10.76 million people have been infected worldwide.

Markets also kept a wary eye on China's trade relations with the United States.

More than 75 members of the U.S. Congress sent a letter to President Donald Trump urging him to take make a formal determination on whether China's treatment of Muslim Uighurs and other groups constitutes an atrocity.

Gold is considered a safe store of value during political and financial uncertainty.

Indicative of sentiment, holdings of SPDR Gold Trust, rose 0.8% to 1,191.47 tonnes on Thursday.

Stemming bullion's advance, the better-than-expected U.S. jobs reports lifted sentiment in wider financial markets.

The U.S. economy created jobs at a record clip in June, but 31.5 million Americans were collecting unemployment checks in the middle of the month.

Palladium was steady at $1,901.44 per ounce, while platinum rose 0.5% to $806.63, set for its first weekly gain in six.

Silver gained 0.6% to $17.90, heading for its fourth consecutive weekly gain.
Reuters
first published: Jul 3, 2020 09:40 am
Sections