Traders Monitor New COVID Cases As Rising Dollar Caps Gains – Investing.com

dollar cases rising covid caps
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Traders Monitor New COVID Cases As Rising Dollar Caps Gains – Investing.com

futures are trading lower on Monday as a surge in global coronavirus cases is driving investors to seek shelter in safe-haven US Treasuries and the , proving once again that gold is no longer being perceived as a safe-haven asset, no matter what the old school brokers want to tell us. The price action suggests gold is being thought of as a risky investment albeit, one that doesn’t pay interest or a dividend. Over the early part of the month, gold’s price action was driven by worries about and Federal Reserve policy, but Monday’s early price action suggests this week’s movement will be driven by concerns over risk. Yesterday, gold was pressured by a rising dollar, which is reducing demand for the dollar-denominated asset, but losses are likely being limited by lower Treasury yields. Treasury Yields Start the Week Lower, 10-Year Treasury Around 1.27% US Treasury yields dipped on Monday morning, with the falling to around 1.27%. The yield on the benchmark 10-year Treasury note fell 2 basis points to 1.275%. The yield on the Treasury bond dipped 2 basis points to 1.905%. Investors are moving into Treasuries for protection in response to early weakness in US stock indexes after…