2020.08.0610:44:00UTC+00Gold Hovers Near Record High

Gold prices hovered near record highs on Thursday as the number of global Covid-19 infections surged past 19 million and the impasse over the next round of the U.S. fiscal stimulus measures spurred concerns about the pace of economic recovery.

Spot gold edged up 0.6 percent to $2,049.65 per ounce after hitting a record high of $2,055.10 on Wednesday. U.S. gold futures were also up 0.6 percent at $2,049.95.

The Covid-19 pandemic clouded the economic outlook and boosted bullion's safe-haven allure.

To help an economy at risk from rising coronavirus cases, Cleveland Fed President Loretta Mester called on Congress to provide more fiscal help and said the Fed is ready to do more if needed.

Dallas Federal Reserve Bank President Robert Kaplan said during an interview with CNN on Wednesday that the economy needs a continuation of the unemployment benefits to help the economy recover from the coronavirus pandemic.

Meanwhile, after holding interest rates and leaving QE targets unchanged, the Bank of England said it does not expect the U.K. economy to exceed its pre-coronavirus levels until the end of 2021.

On the stimulus front, White House negotiators said they're no closer to agreeing with Democrats on the size and the scope of the latest stimulus package.

"If there's not a deal by Friday, there won't be a deal," Republican Senator Roy Blunt reportedly said.