After soaring high, Where is the Gold Direction?

 Gold prices soared at the start of the week following the fall of the US dollar to a three-week low raised by expectations of a deal in US stimulus assistance package negotiations.


Entering the European session, gold traded around $ 1,925 per ounce slightly below the $ 1,933 per ounce it reached at the opening of the Asian session. Gold futures were positive at $ 1,931 per ounce (3.00 pm Malaysian time).


Market confidence remains on US stimulus talks despite uncertainty over whether the two sides will reach an agreement after President Donald Trump proposed a $ 1.8 trillion aid package.


Although it is close to the value offered by Democrats, which is $ 2.2 trillion, the Republican Senate has refused to agree because it does not want to increase the country's debt and worries that it could affect their vote in next month's presidential election.



Not only that, but Trump's proposal was also opposed by US House of Representatives Speaker Nancy Pelosi who was determined to want a bigger stimulus package.


In addition, concerns over the increase in coronavirus cases also increased after France recorded the highest daily increase on Saturday at about 27,000 cases. Meanwhile, the UK is reportedly announcing new sanctions measures to curb the growing concern.