Turmoil in markets: Global equities struggle on virus fears
Gold chalked up another record peak on Tuesday before pulling lower as the dollar clawed back earlier losses, while equity markets struggled with mounting coronavirus fears, dealers said. With new infection spikes in Asia and Europe - on top of the already high number of new cases in the US - and new containment measures, the global economic outlook remains clouded. The virus uncertainty, combined with China-US tensions, sent gold soaring nearly 30% this year, and on Tuesday it struck another record pinnacle at $1,981.27 per ounce in Asian trade. That smashed the previous day’s peak, but the precious metal later pared gains. Observers still predict $2,000 could be broken as early as this week. In the meantime, the focus is on the US Federal Reserve’s next policy meeting, which is tipped to see more easing measures to support the world’s top economy. Most Asian stock markets had earlier made gains after overnight strength on Wall Street.
Published in The Express Tribune, July 29th, 2020.
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