Thursday, October 22, 2020

Failing to Survive, Gold Price Decreases Again

 Gold prices fell from a one-week high as investors returned cautious following negotiations on US fiscal stimulus have yet to reach an agreement.

In the Asian session, gold traded down at $ 1,913 per ounce from the highest level reached at $ 1,931 per ounce during the New York session. Meanwhile, gold futures fell to $ 1,916 (11.50am Malaysian time).

The greenback dollar began to rise from a 7-week low following some emerging concerns that an agreement on US coronavirus stimulus may not be reached before the presidential election.

The precious metal was previously backed by hopes raised by US President Donald Trump and House Speaker Nancy Pelosi to reach an agreement in these negotiations.

Discussions continued between House Speaker Nancy Pelosi and Treasury Secretary Steven Mnuchin, which still ended without an agreement and this has burdened market sentiment during the opening of today's trading session.

White House Chief of Staff Mark Meadows said the main issue that hinders the current deal is funding for state and county governments.