2021.01.0609:48:00UTC+00Gold Inches Higher On Stimulus Hopes

Gold edged higher on Wednesday after projections showed Democrats will win both runoff elections in Georgia to retake the U.S. Senate for the first time since 2015.

Unified control of government would allow Democrats to avert gridlock in Congress and give Biden a chance to enact his ambitious legislative agenda.

Spot gold rose 0.4 percent to $1,957.04 per ounce, while U.S. gold futures edged up 0.3 percent to $1,960.10.

The dollar hit its lowest level in nearly three years on expectations that a Democrat-controlled Senate would pave the way for a larger fiscal stimulus package.

Investors await the minutes of the U.S. Federal Reserve's Dec. 15-16 policy meeting scheduled for release later today for further direction.