Gold price jump as dollar drops, US stimulus cheer

Gulf Today Report 

Gold prices advanced on Monday beyond 1% as the dollar declines and the US passed a massive $1.9 trillion stimulus package.

Spot gold was up 1% at $1,750.24 per ounce by 05:44 GMT, after rising as much as 1.1% earlier in the session while US gold futures rose 1.1% to $1,748.50.

READ MORE 

China factory activities slowdown in 9 months: official

Sharjah Airport becomes Kenya's Astral Aviation hub in the Middle East

Europe less at risk of inflation

Stephen Innes, chief global market strategist at Axi said, "a reversal of the higher yield trend and a weaker dollar are allowing gold to move a little bit higher."

The dollar dropped from a one-week high, increasing gold’s appeal for those holding other currencies.

Gold serves as a shield against inflation that is likely to happen due to stimulus, higher bond yields challenge that status.