2020.11.2318:39:00UTC+00Gold Futures Settle Sharply Lower As Risk Sentiment Improves On Vaccine News

Gold prices declined sharply on Monday as investors sought riskier assets amid improved risk sentiment after the latest positive updates on Covid-19 vaccine front.

The dollar's strength against most of its peers weighed as well on gold prices. The dollar index, which rose to 92.80 by late morning, pared some gains subsequently, but was still holding firm in positive territory at 92.54, up 0.17% from previous close.

Gold futures for December ended down $34.60 or about 1.8% at $1,837.80 an ounce.

Silver futures for December closed lower by $0.730 at $23.633 an ounce, while Copper futures for December settled at $3.2580 per pound, down $0.0330 from previous close.

After encouraging updates from Pfizer and Moderna last week, there is more cheerful news on the vaccine front now, with Oxford University and AstraZeneca pharma announcing that their vaccine for the novel coronavirus could be around 90% effective under one dosing regimen.

"Today marks an important milestone in our fight against the pandemic. This vaccine's efficacy and safety confirm that it will be highly effective against Covid-19 and will have an immediate impact on this public health emergency," AstraZeneca chief executive Pascal Soriot said in a statement.

Meanwhile, the FDA's outside advisers are slated to meet on Dec. 10 to review Pfizer's emergency-use application for its vaccine.