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Gold zig-zags on US stimulus, virus woes

The gold price rose back above US$1,900 an ounce on the spot market briefly as 2020 continues to deliver a range of catalysts.
Gold zig-zags on US stimulus, virus woes Gold zig-zags on US stimulus, virus woes Gold zig-zags on US stimulus, virus woes Gold zig-zags on US stimulus, virus woes Gold zig-zags on US stimulus, virus woes

WA-based iron ore producer Fortescue Metals Group reached a one-year high yesterday

Staff reporter

The US yesterday agreed on a $900 million economic stimulus package but concerns are mounting about a mutated strain of COVID-19, nine months after the World Health Organisation declared a global pandemic.

Gold, which was below $1,500/oz 12 months ago, hit an all-time high above $2,000/oz in August.

It was about $1,877/oz at the time of writing.

Elsewhere iron ore was a standout, with 58% Australian fines jumping to be worth more than 62% fines according to MySteel, at $165.15 per tonne and $163/t respectively.

Western Australia-based iron ore producer Fortescue Metals Group reached a one-year high yesterday of A$24.06.

It closed up 4.9% to $24.04 and could be set for further gains today.

Copper, which briefly rose above US$8,000/t this week to its highest point since February 2013, closed lower on the London Metal Exchange to $7,826.30/t.

Precious metals producer Fresnillo gained 2.28% in London, while Newmont rose 0.36% in New York.

Finally, Almaden Minerals (TSX: AMM) plunged 36% in Toronto on news of a permit being denied for its Ixtaca project in Mexico.

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