Gold Price Steadies Amid World Mint Closures

APMEX

3/26/2020 1:58:23 PM

Gold fell on Monday as investors unloaded bullion in exchange for cash after several more countries announced lockdowns to curtail the spread of the coronavirus, overshadowing policymakers’ frantic efforts to mitigate the economic impact. Palladium lowered 0.2% to $1,638.79 an ounce, while Platinum jumped 0.5% to $614.15 an ounce. Silver also dipped lower 0.1% to $12.57 an ounce before market close.

Palladium surged 12% on Tuesday, on track for its biggest daily rise since 2000 as major producer South Africa locked down due to the coronavirus, while Gold climbed over 3% as a new round of stimulus measures paused a run for cash amongst investors. The closure of three of the world's largest Gold refineries in Switzerland due to the outbreak has squeezed the supply of the yellow Precious Metal.

Gold prices settled lower Wednesday, giving up some gains from a day earlier when bullion registered its largest percentage rise in more than a decade. Some commodity analysts attributed the cutback to some exhaustion after two powerful sessions of gains for the yellow Precious Metal, as the U.S. Congress draws closer to passing a $2 trillion rescue package to help lessen the economic pain of the coronavirus pandemic. Among other Precious Metals on Wednesday, Silver rose 61 cents, or 4.3%, to end at $14.87 an ounce.

Gold steadied on Thursday, paring losses from a 1% dip earlier in the session, as the U.S. Dollar's rally faded and some safe-haven buying returned on expectations of a huge jump in U.S. jobless claims due to the coronavirus pandemic. The U.S. Senate on Wednesday overwhelmingly backed a $2 trillion bill aimed at helping unemployed workers and industries hurt by the coronavirus, but that did little to prop up risk sentiment. Palladium eased 2.4% to $2,261.27 per ounce, having registered its largest daily gain since 1997 on Wednesday as a lockdown in major producer South Africa intensified supply woes.