Gold pares gains on dollar rebound, upbeat risk sentiment
· Gold prices pared gains in choppy trading on Monday as the dollar recovered and stock markets continued their rally, while U.S. President Donald Trump's signing of a long-awaited pandemic aid bill offered support.
· Spot gold was little changed at $1,875.99 per ounce by 2:20 p.m. EST (1920 GMT). U.S. gold futures settled down 0.2% at $1,880.40.
· "We're going into the holidays. In reality it doesn't take much to move things right now," said Daniel Pavilonis, senior market strategist at RJO Futures.
"Maybe it's just the reverberation in the dollar market. Ultimately gold is going to continue to move higher."
· The dollar index rebounded, after slipping to a one-week low earlier, making bullion expensive for other currency holders.
· Trump on Sunday signed into law a $2.3 trillion pandemic aid and spending package, restoring unemployment benefits to millions of Americans.
· "Another stimulus package being passed will be inflationary and boost gold in the future. You should really be buying gold on these pullbacks," said Michael Matousek, head trader at U.S. Global Investors.
· Gold rose as much as 1.3% to its highest since Dec. 21 at $1,900.04 during Asian trading hours but pared gains later in volatile trading due to the holidays.
· Gold was dented by an upbeat risk sentiment, with Wall Street's main indexes touching record highs.
· Bullion, considered a hedge against inflation, has still risen over 23% so far this year amid the unprecedented stimulus unleashed globally.
· Silver jumped 1.8% to $26.32 an ounce, after hitting a one-week peak of $26.75 earlier. Platinum climbed 1% to $1,033.74 and palladium gained 0.6% to $2,335.52, after rising to a peak since Nov. 11 at $2,470.43 earlier.
CORONAVIRUS UPDATES:
Global Cases: 81.63M (+456,921)
Global Deaths: 1.78M (+8,815)
U.S. Cases: 19.75M (+159,501)
U.S. Deaths: 342,955 (+1,739)
U.K. Cases: 2.32M (+41,385)
U.K. Deaths: 71,109 (+357)
TH Cases: 6,285 (+144)
TH Deaths: 60
Myanmar Cases: 122,534 (+648)
Myanmar Deaths: 2,618 (+17)
UK expected to approve Oxford-AstraZeneca Covid vaccine this week
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The House voted Monday to increase the second round of federal direct payments to $2,000 as Democrats embrace President Donald Trump’s calls to put more money in Americans’ pockets.
Treasury checks to individuals could start this week, senior official says
The U.S. Treasury Department is anticipating sending the first wave of $600 stimulus checks to U.S. individuals and households as early as this week, as previously planned, a senior Treasury official said on Monday.
The Treasury would also send top-up payments to those who have already been issued checks if Congress increases the amount as President Donald Trump has demanded. On Sunday, Trump signed a $2.3 trillion pandemic aid and government spending package, passed the previous week, after threatening to block it unless lawmakers agreed to increase the payments to $2,000.
House set to vote on overriding Trump veto of $740 billion defense bill
The House was set to vote Monday on whether to override President Donald Trump’s veto of an annual defense spending bill.
An override would stand as a bipartisan rebuke to the Republican president in the final days of his administration.
The House, led by Speaker Nancy Pelosi, D-Calif., is set to convene at 2 p.m. ET. The vote to override Trump’s rejection of the massive defense bill, which authorizes a topline of $740 billion in spending and outlines Pentagon policy, is expected around 5 p.m. If passed, the override measure then heads to the Senate next.
Biden accuses Trump’s Pentagon and OMB of obstruction, demands cooperation with transition team
President-elect Joe Biden said Monday his transition team has run into “roadblocks” and “obstruction” from Trump administration officials at key agencies, hindering the incoming Biden administration’s efforts to prepare for the presidency.
The Pentagon and Office of Management and Budget did not immediately respond to CNBC’s requests for comment.
EU ambassadors formally approve Brexit trade deal ahead of deadline
The 27 ambassadors from EU member nations on Monday formally approved the Brexit trade deal it struck with the U.K. last week, the latest hurdle for an agreement that will be implemented on Jan 1.
China’s economy is still months away from a full recovery, business survey finds
China has not fully recovered from the shock of the coronavirus pandemic, business leaders said in a survey by the China Beige Book released Tuesday.
Government commentary in the last few weeks have also signaled concerns about overall economic growth. While economists predict China’s gross domestic product will likely expand about 2% this year, consumers have so far spent less than they did last year as many remain uncertain about future income.
Domestic demand is a key part of Beijing’s plan for sustainable economic growth in the coming years. China has been trying to rely more on its own consumers for growth, rather than on exports, especially amid increased tensions with major trading partners such as the U.S.
Reference: CNBC, Reuters, Worldometers
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