Gold Tumbles to Four-Month Low as Biden Begins Formal Transition
- Biden plans to nominate Janet Yellen as Treasury secretary
- Bullion drop accelerated by vaccine news, positive U.S. data
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Gold dropped to the lowest since July as positive vaccine news, strong economic data and the start of U.S. President-elect Joe Biden’s formal transition undermined the metal’s haven appeal.
Prices tumbled for a second day to just above $1,800 an ounce as the Dow Jones Industrial Average topped 30,000 for the first time. Gold had been trading in a tight range for weeks before the U.S. election, and looked set to break upward immediately after the poll. Then Pfizer Inc. announced its Covid-19 vaccine was 95% effective at preventing the disease on Nov. 9, sparking a rotation into risk assets that drove down gold.