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PRECIOUS-Gold eases on firmer dollar, equities

Published 2020-08-24, 09:16 p/m
© Reuters.
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Aug 25 (Reuters) - Gold prices edged lower on Tuesday, weighed down by a stronger U.S. dollar and as hopes for coronavirus treatments lifted risk sentiment.

FUNDAMENTALS

* Spot gold XAU= was down 0.2% to $1,929.25 per ounce by 0036 GMT.

* U.S. gold futures GCv1 eased 0.2% to $1,934.10.

* The dollar index .DXY held firm near a more than one-week high hit last week, making gold more expensive for holders of other currencies. USD/

* Asia's stock markets opened higher following a Wall Street rally driven by coronavirus vaccine hopes. MKTS/GLOB

* The U.S. Food and Drug Administration authorised the use of blood plasma from recovered COVID-19 patients as a treatment option. However, the World Health Organization was cautious about endorsing the use of recovered COVID-19 patients' plasma to treat those who are ill, saying evidence that it works remains "low quality." Investors now await U.S. Federal Reserve Chairman Jerome Powell's speech at Jackson Hole on Thursday for clarity on the direction of U.S. monetary policy. The Fed has rolled out a wave of fiscal and monetary stimulus measures and cut interest rates to near zero to mitigate the economic damage caused by the pandemic, helping gold rise 28% so far this year.

* More than 23.57 million people have been reported to be infected by the novel coronavirus globally and 809,569​ have died, according to a Reuters tally. Meanwhile, U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin spoke with Chinese Vice Premier Liu He on Monday, the U.S. Trade Representative's Office said. Silver XAG= gained 0.3% to $26.62 per ounce, platinum XPT= rose 0.8% to $923.10, and palladium XPD= climbed 1% to $2,182.59.

DATA/EVENTS (GMT) 0600 Germany GDP Detailed QQ SA, YY NSA Q2 1400 US

Consumer Confidence

Aug 1400 US

New Home Sales-Units

July

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