Photographer: Andrey Rudakov / Bloomberg
Photographer: Andrey Rudakov / Bloomberg
Gold ticked higher after the US House passed a bill to increase household checks to $ 2,000, a proposal backed by President Donald Trump that increases the rising costs of pandemic relief measures. The dollar relaxed.
The plan to raise payments from $ 600 is in line with Trump’s surprise request last week, when he threatened to reject the entire spending package. The dollar weakened after the House supported the plan, which will increase spending on helping households by about $ 464 billion.
Gold is heading for its first monthly gain in five, as optimism over coronavirus vaccines gives way to renewed inflation bets and a weaker dollar. The economic downturn and rising global stimulus spending have helped guide gold to its best year in 2010.
With trading volumes still thin during the holiday season, “precious metal traders were taking the direction of the US dollar in the absence of new fundamentals,” Philip Futures wrote in a note. The US currency reached its lowest value since 2018 earlier this month.
Spot gold rose 0.3% to $ 1,878.79 an ounce at 10:46 a.m. in Shanghai after a volatile Monday that ended with a 0.5% loss
The House vote brings a new turn at the end of the year to Washington, which is fighting pandemic spending. Senate Republicans who previously opposed higher aid controls must now weigh the proposal backed by their outgoing president.
Silver rose 0.6% after ending the highest in September on Monday, while platinum and palladium also won.
– With the assistance of Martin Ritchie