The yellow gold traded stable with a slight increase on Monday, while the US dollar continued to trade weakly at the start of the European session.
Spot gold traded around the price level of $ 1,874 per ounce, while gold futures were positive at $ 1,872 per ounce (3.30pm Malaysian time).
The greenback dollar traded lower against most major currencies following positive reports on the Covid-19 vaccine which has supported market sentiment at the opening of today's trading session.
The United States is expected to receive the Covid-19 vaccine a day after the U.S. Food and Drug Administration (FDA) approved it in mid-December. Britain, meanwhile, may approve the Covid-19 vaccine that Pizer co-produced with BioNTech this week.
Meanwhile, the price of gold was also supported by market expectations of a US stimulus package even after US Treasury Secretary Steven Mnuchin terminated the loan assistance program to the Federal Reserve (Fed) later this year.
This is because, some new sanctions implemented in the United States have led to speculation that the Fed will loosen monetary policy further.
Meanwhile, Mnuchin also assured that the Fed and the Treasury still have many policy tools to support the economy.
