Gold climbs as doubts on US stimulus package weighs on market

Gold prices saw gains on Wednesday following a decline in the last session as investors doubted U.S. President Trump’s proposed stimulus package to ease the virus’ impact.

Spot gold gained 0.4%, at $1,656.37 per ounce while U.S. gold futures slid 0.2%, at $1,656.70.

The White House and the U.S. Congress discussed measures to implement in order to protect the U.S. economy and workforce against the epidemic.

Asian shares and Wall Street futures dropped as skepticism grows around the U.S. government’s stimulus package, causing an early rally to cut.

10-year U.S. Treasury yields slid, nearing an all-time low earlier in the week. The U.S. dollar was down against other currencies as market sentiment over the virus prevailed.

The total confirmed cases of COVID-19 had topped 116,000 on Tuesday, with 80,000 in Mainland China.

The U.S. Federal Reserve was expected by analysts to slash interest rates on its policy meeting next week.

The world’s largest gold-backed exchange-traded fund, SPDR Gold Trust slipped 0.2%, at 962.03 tonnes.

Meanwhile, the palladium lost 0.6%, at $2,404.58 an ounce; platinum gained 0.8%, at $875.37; and silver went up 1.3%, at $17.08 an ounce.