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Market futures up, gold strong

Key market futures are indicating a positive start to the week and the gold price remains strong, above US$1,809 an ounce on the spot market.
Market futures up, gold strong Market futures up, gold strong Market futures up, gold strong Market futures up, gold strong Market futures up, gold strong

W-shaped recovery possible: World Gold Council

Staff reporter

The World Gold Council said investors had embraced gold in 2020 as a key portfolio hedging strategy, in its mid-year outlook.

"Though equity markets around the world rebounded sharply from their Q1 lows, the high level of uncertainty surrounding the COVID-19 pandemic and the ultra-low interest rate environment supported strong flight-to-quality flows," it said last week.

"There is a growing consensus that a swift V-shaped recovery is morphing into a slower U-shape recovery or, more likely, the possibility that a recovery in H2 is short lived as recurring waves of infections set the global economy back, resulting in W-shaped recovery."

In Toronto, Midas Gold (TSX: MAX) shot up 28.75% to close at a one-year high of C$1.03, on no news.

The company had said earlier this month the "much-anticipated" draft environmental impact statement was expected to be released for public review in August.

Midas Gold Idaho president and CEO Laurel Sayer said at the time almost a decade of work had gone into studying, designing and improving the Stibnite gold project.

Among the majors, Fresnillo finished up 4.55% in London.

Barrick Gold gained 2.23% in Toronto.

Finally, Freeport-McMoRan managed a 0.82% rise in New York on Friday.