Gold rose more than 1% on Wednesday as fears over a worsening coronavirus pandemic triggered a flight to safety, with expectations of further monetary easing by central banks adding support.

Spot gold was up 1.4% at $1,592.83 per ounce by 0730 GMT, having slumped 3.1% in the previous session on a strong dollar. U.S. gold futures gained 0.5% at $1,604.50.

Gold is considered an attractive investment during times of political or economic uncertainty. It is highly sensitive to  interest rates, as lower rates reduce the opportunity cost of holding the non-yielding bullion.

Source : Reuters