Gold dips on firmer dollar, COVID-19 vaccine hopes

Gold fell on Thursday in early Asian trade as the dollar gained some ground and progress in COVID-19 vaccine development dented the precious metal’s appeal.

* Spot gold fell 0.21 % to $1,867.43 per ounce by 418 GMT, while U.S. gold futures were down 0.4% at $1,866.60.

* After falling for five straight sessions, the dollar index was up 0.2%, making gold expensive for holders of other currencies.

* Pfizer announced on Wednesday that the final results from the late-stage trial of its COVID-19 vaccine showed it was 95% effective.

* President-elect Joe Biden expressed hope on Wednesday that Republicans in the U.S. Congress would be more inclined to move forward on COVID-19 relief legislation after President Donald Trump leaves office in January.

* Forty-one U.S. states have reported daily record increases in COVID-19 cases in November, 20 have registered new all-time highs in coronavirus-related deaths from day to day, and 26 have reported new peaks in hospitalizations, according to the Reuters tally.

* The U.S. economy is now affected more by swings in COVID-19 infections than it is by restrictions on certain activities, and a surge in cases could slow growth, New York Federal Reserve Bank President John Williams said on Wednesday. * Britain and the European Union are in the last moments to reach a trade deal that would regulate their relationship after Britain’s transition period ends on Jan 1, 2021, the EU’s Trade Commissioner Valdis Dombrovskis said on Wednesday.

* Holdings in SPDR Gold Trust , the world’s largest gold-backed exchange-traded fund, fell 0.60% to 1,219.00 tonnes on Wednesday.

* Silver fell 0.3 % to $24.24 per ounce. Platinum eased 0.5% to $937.30, while palladium was down 0.7% at $2,311.91.