According to Reuters, on December 11, gold prices dipped as the greenback gained momentum. Besides, gold got cheaper because investors voiced concerns amid fading prospects for a stimulus deal.
Analysts highlighted that the precious metals market has sunk significantly. The spot price for gold tumbled by 0.48% to $1,826 per troy ounce. Prices of other metals also fell sharply: silver dropped by 1.33%, to $23.63 per 1 ounce, platinum declined by 2.06% to $1005.31 per 1 ounce, and palladium decreased by 0.19% to $2326.35 per 1 ounce.
Ross Norman, an independent analyst, thinks that gold is likely to be volatile due to the controversial fundamental background, namely the news on the vaccines against COVID-19, a new package of stimulus measures in the United States, as well as the weakening of the US dollar. He also mentioned the exhaustion of market drivers as many unexpected factors might change the sentiment.
Earlier, Speaker of the House Nancy Pelosi said that Congress would continue to work on stimulus measures to revitalize the US economy severely affected by the pandemic. The stimulus talks will be extended until December 26 after Christmas. Notably, most of the emergency financial assistance programs will expire by that time.
