Gold hits 2-week high as virus outbreak raises demand for safe haven

The World Health Organization (WHO), however, has designated the coronavirus outbreak an emergency for China but not for the rest of the world currently, adding that it was tracking it “every minute.”

Jan 27, 2020 11:01 IST India Infoline News Service

Gold rose to a more than two-week high on Friday owing to escalating concerns regarding the coronavirus, which affected investor sentiment and raised demand for safe-haven assets. 

Spot gold was up 0.7% to $1,573.53/ounce. US gold futures settled 0.4% higher at $1,571.90/ounce.

The US Centers for Disease Control and Prevention confirmed a second US case of the coronavirus in the country, which hit the appetite for riskier assets. The World Health Organization (WHO), however, has designated the coronavirus outbreak an emergency for China but not for the rest of the world currently, adding that it was tracking it “every minute.” 

Meanwhile, oil prices retreated 2% on the back of demand concerns owing to the virus.


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