SINGAPORE: Gold scaled an all-time peak on Wednesday, after topping the $2,000 mark in the previous session, spurred on by a weaker dollar, falling US Treasury yields and expectations of more stimulus measures to revive a pandemic-ravaged economy.
Spot gold was up 0.8% at $2,033.86 per ounce by 0655 GMT, after hitting a record high of $2,036.49. US gold futures rose 1.4% to $2,049.30.
"The drop in the dollar and nominal yields, as speculation remains rife about global growth and any US fiscal package, is what fundamentally drove gold prices higher," IG Markets analyst Kyle Rodda said.
Coronavirus cases continue to surge in the United States and dozens of US states have had to pause or roll back their reopening plans. The global tally stood at more than 18.41 million.
The rise in cases has dented hopes of a swift US economic rebound, sending the 10-year Treasury yield to a five-month low, reducing the opportunity cost of holding non-interest bearing gold.
White House negotiators vowed to work "around the clock" with congressional Democrats to try to reach a deal on coronavirus relief by the end of this week.
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