icon bookmark-bicon bookmarkicon cameraicon checkicon chevron downicon chevron lefticon chevron righticon chevron upicon closeicon v-compressicon downloadicon editicon v-expandicon fbicon fileicon filtericon flag ruicon full chevron downicon full chevron lefticon full chevron righticon full chevron upicon gpicon insicon mailicon moveicon-musicicon mutedicon nomutedicon okicon v-pauseicon v-playicon searchicon shareicon sign inicon sign upicon stepbackicon stepforicon swipe downicon tagicon tagsicon tgicon trashicon twicon vkicon yticon wticon fm

AU yeah! Gold surges more than 2% hitting 7-year highs

AU yeah! Gold surges more than 2% hitting 7-year highs
Investors are rushing to buy the safe haven yellow metal after rising fears over the spread of the coronavirus epidemic triggered panic sell-offs on Asian and European markets.

The price of gold surged more than two percent on Monday, hitting record levels since February 2013. Gold for April delivery on Comex reached $1,691.7 per troy ounce before slightly falling back later in the session. Meanwhile, spot gold was also up around 2.5 percent.

Silver prices also posted gains on Monday, with contracts for March rising 1.7 percent to $18.84 per ounce.

Earlier on Monday, key Asian indices suffered heavy losses, with South Korea’s benchmark Kospi hitting the lowest point in two months, Hong Kong’s Hang Seng losing 1.75 percent, and China’s Shanghai Composite falling 0.28 percent. Japan’s markets were closed for a public holiday on Monday.

Worries over the coronavirus outbreak also pushed European stocks down, with the pan-European STOXX 600 down 3.7 percent, reaching the lowest since the end of January. Both German and French key indices were down nearly 3.8 percent as of 11:33 GMT, while the FTSE 100 Index lost around 3.5 percent.

On Sunday, Chinese President Xi Jinping warned that the deadly new virus will definitely have “a considerable impact on the economy and society.” However, he noted that the effect will be temporary, urging businesses to resume work. Many factories in China have been shut down since the end of the Chinese New Year holidays, taking a toll on both domestic and foreign producers as well as the global supply chain. 

The new coronavirus has infected more than 79,000 people and led to 2,620 deaths. While the number of cases has dropped in some Chinese provinces, allowing them to ease restrictions, the number of infections spiked in other countries over the weekend. In an effort to battle the viral outbreak, South Korea went to its highest alert level for infectious diseases, while Italy had to cancel its famous Venice Carnival and some soccer matches.

For more stories on economy & finance visit RT's business section

Dear readers and commenters,

We have implemented a new engine for our comment section. We hope the transition goes smoothly for all of you. Unfortunately, the comments made before the change have been lost due to a technical problem. We are working on restoring them, and hoping to see you fill up the comment section with new ones. You should still be able to log in to comment using your social-media profiles, but if you signed up under an RT profile before, you are invited to create a new profile with the new commenting system.

Sorry for the inconvenience, and looking forward to your future comments,

RT Team.