Thursday, March 19, 2020

Gold rises as ECB measures to limit virus impact lift sentiment

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Gold prices rose on Thursday after a steep fall in the previous session, as the European Central Bank's measures to mitigate the economic effects of the coronavirus epidemic lifted investor sentiment.

* Spot gold rose 0.4% to $1,491.40 per ounce by 0040 GMT, having risen 1% earlier in the session.

* The metal fell about 3% on Wednesday along with other precious metals, as investors sold across assets to hoard cash.

* U.S. gold futures rose 1.2% to $1,495.80 per ounce.

* Asian stock markets fought to stabilise, as the latest promise of stimulus from the European Central Bank propped up sentiment while the world struggles to contain the virus pandemic. U.S. stock futures turned positive.

* The euro rose against the dollar and the pound after the ECB's asset-purchase programme announcement in response to the coronavirus outbreak.

* The European Central Bank launched a 750 billion euro ($818 billion) emergency bond purchase programme on Wednesday to push down borrowing costs in a bloc struggling with the economic fallout of coronavirus.

* Japan's annual core consumer inflation eased in February as energy prices fell and the outbreak clouded the outlook as consumers grow more cautious about spending, adding to fears the economy could be sliding into recession.


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