Gold trading gained momentum on Tuesday following a new wave of coronavirus outbreaks that sparked concerns over the global economic recovery increasing the attractiveness of the gold safe-haven.
According to data from Johns Hopkins University, the number of coronavirus cases so far has reached over 43.5 million worldwide with the United States and Europe witnessing high increases in daily cases.
With the increase in cases of Covid-19 infection worldwide, gold is currently appearing as an attraction for investors, Reuters reported, citing the views of analysts from OCBC Bank.
However, the precious metal is likely to remain trading around the $ 1,900 price level until the presidential election results are announced further with uncertainty in US stimulus package negotiations, he added.
Hopes to reach an agreement on a coronavirus stimulus plan are fading with the presidential election only a few days away, and Senate Majority Leader Mitch McConnell also called for a delay in any legal action.
Entering the European session, the yellow metal traded hovering around $ 1,905 per ounce after gaining momentum during the Asian session. Meanwhile, gold futures were positive at $ 1,907 per ounce (3.40pm Malaysian time).
