Gold prices fall on FDA approval for potential COVID-19 treatment

Gold prices fell once again earlier on Monday in Asia, continuing a consecutive second week of losses.

Gold futures slipped by 0.36% to $1,940 per ounce at 12:25 AM ET (05:25 AM GMT). Meanwhile, stocks, which often moved inversely gold, gained in Asia on Monday. The U.S. Dollar remained steady at the start of the week.

The safe-haven metal found strength on Friday after the Dollar gained along with a slew of positive U.S. data. This included July’s existing home sales, which grew to 5.86 million, and the country’s PMI being above the 50-mark despite economists’ forecasts.

However, investors retreated from the yellow metal after hopes were lifted from a potential COVID-19 treatment on Sunday. The U.S. Food and Drugs Administration (FDA) had give the treatment an “emergency use approval”.

Meanwhile, investors are eyeing the speech for U.S. Fed Chair Jerome Powell at the Jackson Hole Symposium, which is due on Thursday for clues on the U.S. monetary policy outlook.