* Trump threatens to not sign U.S. stimulus deal
* Interactive graphic tracking global spread of coronavirus: https://tmsnrt.rs/3mvcUoa
By Shreyansi Singh
Dec 23 (Reuters) - Gold prices jumped as much as 1% on Wednesday, bolstered by a weaker dollar, while investors kept hopes pinned on a U.S. stimulus package even after U.S. President Donald Trump threatened to not sign the relief bill.
"The economic data just cements the belief that the economy is slowing down and that should help the negotiations with stimulus. ... It's going to be extremely likely that some type of stimulus deal will still get done," said Edward Moya, senior market analyst at OANDA.
"The slightly weaker dollar has provided a move higher for gold," Moya said, adding the stimulus deal and positive developments on the Brexit front are needed to further cement gold's bullish case.
Raising gold's allure for holders of other currencies, the dollar .DXY eased 0.3%, while investors expected further declines in 2021. USD/ threatened on Tuesday to not sign an $892 billion coronavirus relief bill, seen as a lifeline for the nation's pandemic-battered economy, saying the amount in the stimulus checks should be increased. if Donald Trump declines to sign the bill, it is widely expected that Biden will make it pass and therefore we do not see any downside to gold at the moment," Natixis analyst Bernard Dahdah said.
The number of Americans filing first-time claims for unemployment benefits remained elevated but posted an unexpected fall last week. considered a hedge against inflation and currency debasement, has risen over 23% this year, benefiting from massive stimulus unleashed globally.
Alarm about a highly infectious coronavirus variant prompted a wave of travel bans, highlighting concerns over an economic recovery after the pandemic. XAG= rose 2.5% to $25.74 an ounce. Platinum XPT= gained 1.5% at $1,016.55 and palladium XPD= rose 0.5% to $2,326.45.
Add Chart to Comment
We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:
- Enrich the conversation
- Stay focused and on track. Only post material that’s relevant to the topic being discussed.
- Be respectful. Even negative opinions can be framed positively and diplomatically.
- Use standard writing style. Include punctuation and upper and lower cases.
- NOTE: Spam and/or promotional messages and links within a comment will be removed
- Avoid profanity, slander or personal attacks directed at an author or another user.
- Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
- Only English comments will be allowed.
Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.