Gold flat as concerns over rising virus cases offset vaccine optimism

The concerns of rising Coronavirus cases in the US were offset by the vaccine optimism brought about by a positive trial data of a vaccine, which resulted in the change of Gold prices on Tuesday. Spot Gold was unchanged at $1,887.99 per ounce whereas the US Gold Futures were up at 0.1 per cent at $1,888.70.

The value of Bullion dropped as much as 1.3 per cent on Monday after the announcement by Moderna, the drug maker that its experimental vaccine for Coronavirus proved to be 94.5 per cent effective against the Coronavirus.

Congress was called by the president elect Joe Biden, for passing out a new relief package for Coronavirus. Forty U.S. states have reported record increases in COVID-19 cases in November, while 20 have seen a record rise in deaths and 26 reported record hospitalizations, according to a Reuters tally of public health data.

Successful tests of two coronavirus vaccine candidates have increased the chance of a faster than expected U.S. economic recovery, Federal Reserve Vice Chair Richard Clarida said on Monday.