Gold prices record highest monthly drop in 4 years

FE Team | Published: December 02, 2020 00:51:38

After a brief surge during Dhanteras and Diwali in November month, gold prices recorded the highest drop in India on November 30 as it fell by over Rs 3,000, report agencies.
Gold prices slipped its worst in four years in the global market as hopes for a coronavirus vaccine-led economic revival continued to grow.
Spot gold dropped 1.2 per cent to $1,766.26 per ounce, taking the monthly worth for gold down about 6 per cent. This is the biggest monthly decline since November 2016. Meanwhile, in India, commodity exchange MCX is closed on Monday for the morning session on the occasion of Guru Nanak Jayanti.
Earlier, days ahead of Dhanteras, gold prices came tumbling down minutes after drug maker Pfizer announced that its COVID-19 vaccine candidate was more than 90 per cent effective. Gold rates fell over Rs 1000 per 10 grams, while silver prices dropped more than Rs 2,000 a kg.
Gold futures on MCX were down by at least 2.0 per cent to Rs 51,165.00 per 10 gram while silver futures plummeted by 3.5 per cent to Rs 63,130 per kg.
In the opening session, gold prices increased, helped by overall weakness in the US Dollar as expectations increase for economic support after Joe Biden's victory in the US presidential elections.
Giving a sigh of relief to the whole world, Pfizer said that the first set of results from their Phase 3 vaccine trial "provides the initial evidence of our vaccine's ability to prevent COVID-19" which has killed more than 1.2 million people across the world.
Hailing the development, Pfizer chairman and CEO Albert Bourla said it was "a great day for science and humanity." "I think we can see light at the end of the tunnel," he said.
According to the New York Times, Pfizer released only sparse details from its clinical trial, based on the first formal review of the data by an outside panel of experts. If the results hold up, that level of protection would put it on par with highly effective childhood vaccines for diseases such as measles.