July 1 (Reuters) - Gold prices edged higher on Wednesday,
hovering near an eight-year high, as a spike in COVID-19
infections in the United States assuaged hopes of a swift
economic rebound, pushing investors towards the safety of
bullion.
FUNDAMENTALS
* Spot gold XAU= edged up 0.1% at $1,782.21 per ounce by
0115 GMT, after hitting its highest since early October 2012 at
$1,785.46 in the previous session.
* U.S. gold futures GCv1 eased 0.1% to $1,799.30.
* Fresh U.S. coronavirus cases could more than double to
100,000 per day if the current surge spirals further out of
control, the government's top infectious disease expert warned
on Tuesday. * U.S. Treasury Secretary Steven Mnuchin and Federal Reserve
Chairman Jerome Powell on Tuesday pledged to do more for the
U.S. economy as it battles the enormous fallout from the virus
outbreak. * Gold tends to benefit from widespread stimulus measures
from central banks because it is widely viewed as a hedge
against inflation and currency debasement.
* Japanese manufacturers' confidence sank in the second
quarter to levels not seen since the 2009 global financial
crisis, underscoring the damage from the pandemic. * Sentiment in global equities was shaken after Beijing
unveiled new national security laws for Hong Kong, indicating a
more authoritarian future, prompting the United States to begin
eliminating the city's special status on Monday. * Asian stocks were set for a bumpy start to the second half
of the year as optimism about a global economic recovery clashed
with indications that the U.S. health crisis may not yet be past
its peak. MKTS/GLOB
* Palladium XPD= fell 0.3% to $1,925.05 per ounce, while
platinum XPT= rose 0.7% to $822.50 and silver XAG= gained
0.6% at $18.24.
DATA/EVENTS (GMT)
1345 US Markit Mfg PMI Final
1400 US ISM Manufacturing PMI
1800 US Federal Open Market Committee will release the
minutes of its June 9-10 policy meeting