The weekend brought soaring spikes for gold as the number of confirmed COVID-19 cases infects region outside of its core, China. The metal began this week with an initial surge to around $1660 per ounce through the Asian session as stocks continued to tumble.
While the World Health Organization doesn’t want to label the crisis a pandemic, Italy confirmed a worrying case increase. Gold is soaring, but it the rest of the world isn’t looking lucky.
The yellow metal traded high early this morning to challenge $1,690. Sell-off in industrial commodities created some drag for silver, which kept it trading to $19 per ounce so far.
Gold’s rush moderated bit by bit throughout the day as the three major US equity indices fell by 3% just at market open. However, investors are working to hinder its fall.
If the WHO does confirm a pandemic, analysts expect the possibility alone could kick gold’s prices to unworldly highs.
Gold is experiencing a constant rally these past few weeks as the worldwide problem endures. The precious metal recorded its highest rates for several times this week without signs of it ending anytime soon.
The metal’s prices reached more than in June 2016 after the Brexit vote in Britain. That was more than during the Russian annexation of Crimea and the alarming conflicts between the US and Iran.