Gold's appeal as a safe haven asset has grown since California's state of emergency has been declared and the number of infections has increased worldwide, including Australia and South Korea. Containing the spread of the virus has become extremely difficult.
“Gold appears to be the most attractive asset given the global environment and the likely movement of the US Federal Reserve's interest rate towards zero,” said AxiCorp's Stephen Innes.
“This could mean that both retail and institutional investors will snowball the precious metal in their portfolios,” he added.
April gold futures rose $ 25, or 1.5%, to $ 1,668.0 an ounce. Silver futures for May were up 15 cents, or 0.8%, to $ 17.393 an ounce.
US Treasury yields are mostly declining. Thus, the yield on 10-year bonds is holding near a record low below 1%, and the Dow Jones Industrial Average and S & P-500 are aiming for a decline, as a result of which they may lose some of the positions they won on Wednesday.
