According to the trading data on Monday, the price of gold is slightly reduced. At the same time, investors are assessing the impact of accelerating the pace of vaccination against COVID-19 on reducing the number of infected cases.
The price of the April gold futures on the New York Stock Exchange Comex sank by 0.05% or $0.95, to $1822.25 per troy ounce. At the same time, March silver futures rose 0.94% to $27,587 per ounce.
The whole world is livened with news about the beginning of mass vaccination against coronavirus infection. This raises the hope that anti-covid vaccinations will cause a decrease in the number of hospitalizations and deaths from COVID-19. The high efficiency of vaccines will be an incentive for additional recovery of the global economy. This, in turn, will lead to an increase in demand for risky assets, which will negatively affect the value of gold.
Another important cause for concern amongst market participants is the issue of the package of state incentives for the US economy. Earlier, the House of Representatives, following the Senate, supported the preliminary plan of the program with a total volume of $1.9 trillion, and now it can be passed by a majority of Democrats in both houses of Congress.
Experts believe that in the coming year, gold prices will be supported by a weaker dollar, and in the coming months, the value of the precious metal will balance in the range of $1800-1900. Analysts explain their forecast by the fact that the growth in the yield of ten-year US bonds is offset by growing expectations of inflation in the next decade.
