* Gold surges over 1% to $1,817.71/oz on safe-haven demand
* Gold-hungry investors drive ETF stockpile to new record in
June
* GRAPHIC- Gold vs different currencies: http://tmsnrt.rs/1JxbO6Y
* GRAPHIC-2020 asset returns: http://tmsnrt.rs/2jvdmXl
(Adds quotes, graphic; updates prices)
By Shreyansi Singh and Swati Verma
July 8 (Reuters) - Gold soared past the technical $1,800
threshold on Wednesday, scaling its highest since September
2011, as investors bolted for safety from the novel coronavirus
and central banks poured in powerful stimulus to cushion its
economic fallout.
Spot gold XAU= rallied 0.9% to $1,811.01 per ounce by 1:39
p.m. EDT (1739 GMT). U.S. gold futures GCv1 settled 0.6%
higher at $1,820.60.
"The pillars of support are the fiscal and monetary
stimulus," along with inflows into gold-backed exchange traded
funds and other investments, said David Meger, director of
metals trading at High Ridge Futures.
"The constant injection of liquidity into the market
continues to be the most prominent positive factor, as the
dollar has been weakening and supporting commodity prices, but
more specifically gold and silver."
Prices earlier in the session vaulted to $1,817.71, the
highest level since Sept. 19, 2011, and were holding below the
all-time peak of $1,920.30 hit the same month. The yellow metal has charted solid gains this year as the
global economy grapples with the impact of the pandemic, which
has infected more than 11.89 million people worldwide.
Travel curbs to prevent the spread of virus have also
thwarted grey-market operators in the world's second largest
gold consumer, India. "The growth in investment demand has more than offset the
weakness in the physical markets and physically backed ETPs
continue to scale fresh record highs," said Standard Chartered
analyst Suki Cooper.
Gold-backed exchange traded funds added 734 tonnes to their
holdings in the first half of 2020 - more than in any previous
full year, the World Gold Council said on Tuesday.
GOL/ETF "Gold prices have continued to benefit from safe-haven
demand despite positive macro data and risk-on sentiment...
Dollar weakness has provided some support to gold but the key
driver remains real yields," Cooper added. US/
The dollar index slid, while U.S. stocks rallied as
investors weighed hopes for a swift economic recovery against
fears about a resurgence of the pandemic. USD/ .N
In other metals, silver XAG= jumped 2.1% to $18.68 per
ounce. Palladium XPD= gained 0.1% to $1,918.05 per ounce and
platinum XPT= rose 0.7% to $841.54 per ounce.
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SPDR Gold holdings rally to over 7-year high on COVID-19 fears
https://tmsnrt.rs/38AeNKP
GRAPHIC-Gold storms past $1,800 towards new record high
versus other asset classes https://tmsnrt.rs/3iKkYQT
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