Gold prices move up in Asia

SINGAPORE: Gold prices rose in Asian trade on Monday underpinned by concerns of a worsening Covid-19 pandemic, while hopes for a new US stimulus package before the November presidential election also supported prices of the precious metal.

Spot gold gained 0.6% to $1,909.90 per ounce by 0725 GMT, while US gold futures were up 0.3% at $1,912.40.

"The resurgence of Covid-19 in Europe has increased the possibility of a double dip recession and a protracted economic slowdown," said Harshal Barot, a senior research consultant for South Asia at Metals Focus.

"Slowing economic growth will mean that we would see more monetary and fiscal stimulus down the line."

"We expect gold to trade cautiously around $1,900 level for now, the game changer being whether we can get (U.S) fiscal stimulus in the next 48 hours," said Howie Lee, an economist at OCBC Bank.