2 pm Update:Gold Edges Up on Dollar Drop COMMODITIES: Gold Edges Up on Dollar Drop As Positive Vaccine Trial Convinces Investors to Add Risk
02:05 PM EDT, 07/15/2020 (MT Newswires) -- Gold eked out a small gain on Wednesday as the U.S. dollar fell, even as investors worldwide moved to add risk after positive early trials for a Covid-19 vaccine.
Gold for August delivery settled up US$0.40 to US$1,813.80 per ounce in Comex trade.
The U.S. dollar fell, making gold more affordable for international buyers. The ICE dollar index was last seen down 0.17 to 96.09 points.
"Apparently the US currency is no longer profiting from the rising numbers of new corona infections in the US, which was strange enough in any case," Commerzbank analyst Carsten Fritsch said in a note.
Drug-developer Moderna reported early safety trials of a potential Covid-19 vaccine showed it produced antibodies to fight the coronavirus in all patients tested, results that convinced investors to bid up stocks, with the Dow Jones Industrial Average last seen uo 0.6%.
"Risk appetites surged following news of a possibly successful coronavirus vaccine," Action Economics said in a note.