2020.04.2019:31:00UTC+00Gold Futures Settle Higher As Stocks, Oil Prices Tumble

Gold prices surged higher on Monday after equities tumbled and crude oil prices plummeted amid falling risk appetite due to fears about the economic impact of the coronvirus pandemic and concerns about excess crude supply in the market.

As worries about the economic impact of the coronavirus pandemic continue to mount, investors are hoping global central banks and governments will announce further stimulus to pull the sagging economies back on to the recovery mode.

Gold futures for June ended up $12.40, or about 0.7%, at $1,711.20 an ounce, after moving between $1,685.00 and $1,718.40.

Risk appetitie waned significantly after crude oil futures for front month WTI contracts plunged by a staggering 85% or so to around $2.65 a barrel on the New York Mercantile Exchange. As the contract expires on Tuesday, traders were rolling out their contracts to the next month to avoid deliver.