Gold prices gained on Monday as the dollar eased and hopes that a massive economic stimulus in the world's largest economy would be passed remained intact. Spot gold rose 0.1% to $1,854.95 per ounce by 0329 GMT, recovering from a 0.9% decline in the previous session. U.S. gold futures eased 0.1% to $1,854.30.
Gold is 1.6% lower this morning, as it is trading closer to its Wednesday’s low.
Gold prices fell as much as 1.8% on Friday as a broader market sell-off weighed on the metal along with a firm dollar, while hopes for further stimulus from the U.S. kept bullion on track for its first weekly gain in three. "Regardless of the asset class everything from equities to agricultural to softs are selling off and a lot of emphasis is on whether the stimulus could be passed and whether the (COVID-19) vaccine rollout could be effective," said Phillip Streible, chief market strategist at Blue Line Futures in Chicago. The strength in the dollar was also weighing on bullion with benchmark U.S. Treasury yields firm above 1%, Streible added.