Gold climbed to a fresh seven-year high Monday after the US Federal Reserve said in a report last Friday that stocks and asset prices could “suffer a significant hit,” should the covid-19 pandemic deepen.

Chairman Jerome Powell warned that a full economic recovery could drag through until the end of 2021, depending on the delivery of a vaccine.

Spot gold jumped as much as 1.2% to $1,764.73 an ounce, the highest since October 2012. Since then it has cooled off, trading at $1,734.31 an ounce as of 11:15 a.m. EST.

Gold futures for June delivery also rose 1.0% earlier to $1,775.8 an ounce before falling down to $1,739.70 on the Comex…CLICK for complete article