Photographer: Andrey Rudakov / Bloomberg
Photographer: Andrey Rudakov / Bloomberg
Gold rose after the U.S. House passed a bill to raise household checks to $ 2,000, a proposal backed by President Donald Trump that raises the rising cost of pandemic relief measures. The dollar relaxed.
The plan to increase payments from $ 600 fits Trump’s surprise request last week when he threatened to turn down the entire spending package. The dollar weakened after the House supported the plan, which would raise spending on family relief by about $ 464 billion.
Gold is heading for its first monthly gain in five, as optimism about coronavirus vaccines gives way to renewed inflation bets and a weaker dollar. Economic disruption and rising global stimulus spending have helped bring gold to its best year since 2010.
With trading volumes still sparse in the holiday season, “precious metal traders were taking the lead on the US dollar in the absence of key new engines,” Philip Futures wrote in a note. The US currency hit a low since 2018 earlier this month.
Gold point rose 0.3% to $ 1,878.79 an ounce at 10:46 a.m. in Shanghai, after a volatile Monday that ended with a 0.5% loss.
The House vote brings a new twist at the end of the year to Washington that is vying for pandemic spending. Senate Republicans who previously opposed larger aid checks now have to weigh the proposal backed by their outgoing president.
Silver rose 0.6% after ending Monday at its highest since September, while platinum and palladium also won.
– With the assistance of Martin Ritchie