Gold rises to nine-year peak on tepid dollar

Gold scaled a nine-year peak on Tuesday propelled by a softer dollar and expectations of more stimulus measures to resuscitate pandemic-hit economies, while silver sprinted past $20 for the first time since September 2016.

Spot gold gained 0.4% $1,823.29 per ounce after hitting its highest since September 2011. U.S. gold futures rose 0.5% to $1,825.50.

“Gold is deriving strength from a broadly weaker dollar despite the improving market mood,” said FXTM analyst Lukman Otunuga.

“The fundamental themes weighing on global sentiment remain intact with rising coronavirus cases in the largest economy in the world fostering a sense of unease.”

The dollar fell to a more than four-month low versus major currencies.