NEW YORK (Dispatches) - Gold prices gained on Monday as the dollar eased and hopes that a massive economic stimulus in the world’s largest economy would be passed remained intact.
Spot gold rose 0.1 percent to $1,854.95 per ounce, recovering from a 0.9 percent decline in the previous session. U.S. gold futures eased 0.1 percent to $1,854.30.
President Joe Biden’s administration tried to head off Republican concerns that his $1.9 trillion pandemic relief proposal was too expensive on a Sunday call.
"We’re seeing bigger question marks over the passage of Biden’s stimulus package, Senate Republicans are starting to stand a bit more objectionable with particular parts of the package,” said Lachlan Shaw, National Australia Bank’s head of commodity research.
"So it does raise the question about the speed and the timing of the package.
(Although,) some of the issues of the vaccine delays in the U.S. are perhaps tilting the balance in odds of favor of that stimulus,” Shaw added.
The dollar was down 0.1 percent against rival currencies, making gold cheaper for holders of other units.