Gold price recovers, ASX tumbles

Australian markets opened lower after Friday's sell off due to new pandemic concerns.

The Australian Stock Exchange is down as of 10:30 a.m. Sydney time with the S&P/ASX200 off 57.60 points or 0.79% to 7,221.70. The exchange set a new 20-day low, according to an update on the ASX homepage.

Spot gold dropped $10 at open to trade as low as $1,783 a ounces before recovering.

Comex February gold futures are up +0.53% to $1,797.5 an ounce as of 6 p.m. ET.

Oil is up with WTI Crude gaining 3.23% to $70.35 a barrel.

On Saturday Britain, Germany and Italy detected cases of the new Omicron coronavirus variant, according to a report by Reuters. British Prime Minister Boris Johnson announced new social distancing measures. Nations are imposing travel restrictions on southern African states, where the variant was first detected.

On Sunday two cases of omicron COVID-19 variant were reported in Ontario. Other cases have been reported in Australia, the Netherlands, Denmark, United Kingdom, Germany, Israel and Hong Kong, according to CNN.
 

By Michael McCrae

For Kitco News

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