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Gold set to wrap up shiniest year since 2010

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Unprecedented stimulus measures and low-interest rates to cushion economies from the impact of the pandemic this year have benefited gold, as it is seen as a hedge against inflation.

Gold set to wrap up shiniest year since 2010
Gold prices were little changed in holiday-thinned trade on Thursday, but the yellow metal was en route to registering its best annual performance in a decade.
Spot gold was almost flat at $1,893.84 per ounce by 1000 GMT, but was up more than 24 percent for the year, its best since 2010. U.S. gold futures were up 0.3 percent to $1,898.70.
"With reduced market participants acting on the last day of the year, I expect gold to move in a narrow range. Some modest support is coming from a slightly weaker U.S. dollar and modestly lower U.S. real rates," said UBS analyst Giovanni Staunovo.
"We look for a move towards $1,950 in the first quarter of 2021, with the expansionary monetary and fiscal policy pushing inflation expectations up and with U.S. real rates falling further."
The dollar index fell to a more than the two-year trough, making gold cheaper for other currency holders.
European shares fell as wider coronavirus lockdowns in Britain reduced expectations for a swift economic recovery in 2021, despite the vaccine roll-out campaigns.
Keeping gold's advance in check was Republican Senate Majority leader Mitch McConnell's refusal for a quick Senate vote on a bill to increase U.S. relief checks.
Unprecedented stimulus measures and low-interest rates to cushion economies from the impact of the pandemic this year have benefited gold, as it is seen as a hedge against inflation.
Silver fell 0.6 percent to $26.44 per ounce but was up more than 48 percent this year, its best performance since 2010.
Platinum rose 0.8 percent to $1,074.33 per ounce and was up over 10 percent in 2020. Palladium was up 0.4 percent at $2,372.04 and on track for a fifth straight year of gains with a 22 percent rise.
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