Gold loses earlier gains as COVID – 19 fears sour risk sentiment

Gold prices fell on Thursday morning in Asia, retreating from gains made in the previous session.

Gold futures fell by 0.49% to $1,743.45 at 12:46 AM ET (5:46 AM GMT). Investors remained cautious as effects of the COVID-19 pandemic on the global economy continued to batter the yellow metal.

Stocks, which move inversely to gold, were mixed earlier on Thursday.

Risk sentiment soured after a record number of cases impacted countries such as Brazil and Mexico.

India and Spain have extended lockdowns in a bid to contain the coronavirus. However, other countries continue to ease quarantine measures as the number of infected cases decreased.

Japanese Prime Minister Shinzo Abe will announce later in the day if the state of emergency will be lifted in Osaka, Kyoto, and Hyogo.

In the U.S., minutes from a Fed meeting for April confirmed that it would continue to keep its near-zero interest rates until after the economy recovers from the COVID-19 pandemic.     

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