Gold firms near 1-month high as coronavirus cases rise

Spot gold was up 0.2% to $1,758.03 per ounce as of 0124 GMT

  

Gold prices edged up on Tuesday after notching a more than one-month high in the previous session, as coronavirus cases around the world surged and nervous investors opted for safe-haven assets.

FUNDAMENTALS

* Spot gold was up 0.2% to $1,758.03 per ounce as of 0124 GMT. Prices hit $1,762.84 per ounce on Monday, its highest level since May 18.

* U.S. gold futures GCv1 edged 0.2% higher to $1,770.10 per ounce.

* New infections spiked in Latin America, in Brazil in particular, while New York City, the epicenter of the U.S. outbreak, eased restrictions after 100 days of lockdown. 

* Outside of New York, other U.S. states saw rising coronavirus cases. 

* The dollar index .DXY fell 0.1% against its rivals, making gold cheaper for holders of other currencies. 

* Asian stocks were set to edge up on Tuesday after oil prices rose and technology firms pushed Wall Street higher. 

* The European Union told China on Monday to make good on a promise to open up its economy and warned of "very negative consequences" if Beijing goes ahead with a new security law on Hong Kong that the West says will curtail basic rights. 

* Gold is often used as a safe store of value during times of political and financial uncertainty.

* SPDR Gold Trust GLD , the world's largest gold-backed exchange-traded fund, said its holdings rose 0.6% to 1,166.04 tonnes on Monday from 1,159.31 tonnes on Friday. 

* Palladium fell 0.5% to $1,928.26 per ounce, platinum dropped 0.6% to $817.40. Silver eased 0.2% to $17.79 after hitting a more than one-week high on Monday.

DATA/EVENTS (GMT)

0800 EU Markit Mfg, Serv, Comp Flash PMIs June 0830 UK Flash Manufacturing, Services PMIs June 1345 US Markit Mfg, Serv, Comp Flash PMIs June 1400 US New Home Sales-Units May

(Reporting by Brijesh Patel in Bengaluru; Editing by Rashmi Aich) ((Brijesh.Patel1@thomsonreuters.com; Within U.S. +1 651 848 5832, Outside U.S. +91 8067493865; Reuters Messaging: Brijesh.Patel1.thomsonreuters.com@reuters.net))

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