WASHINGTON (dpa-AFX) - Gold prices edged higher in cautious trade on Tuesday after suffering heavy losses the previous day on news around Pfizer vaccine.
Spot gold rose half a percent to $1,871.10 per ounce, after having fallen as much as 4.5 percent the previous day, marking its largest daily decline since August. U.S. gold futures were up 0.8 percent at $1,868.30.
A shift in risk sentiment gave riskier currencies some support after U.S. drug maker Pfizer and its German partner BioNTech announced positive early results from their coronavirus vaccine trial.
The results were based on the first interim efficacy analysis conducted on November 8, 2020 by an external, independent Data Monitoring Committee from the phase 3 clinical study. The Committee has not reported any serious safety concerns.
Meanwhile, it is believed that the prospects of a Biden presidency checked by a divided Congress would boost international trade relations and maintain an easy monetary policy.
The course of Biden's transition to power is dependent in part on an obscure declaration called 'ascertainment.'
Senator Mitch McConnell of Kentucky, the top Republican in Congress, on Monday threw his support behind Donald Trump in a sharply worded speech on the Senate floor.
In his first public remarks since Biden was declared the winner, McConnell didn't offer any evidence of fraud but declared that Trump was '100 percent within his rights' to look into allegations of irregularities and weigh his legal options.
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