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Gold Settles Sharply Lower, Silver Records Steepest Drop In 9 Years

Gold futures ended sharply lower on Tuesday as riskier assets such as equities rallied on hopes about U.S. coronavirus and on news about Russia registering the first vaccine against the coronavirus.

A drop in new coronavirus cases in the U.S. also contributed to gold's weakness. The dollar index, which slipped to 93.17, recovered to 93.57.

Gold futures for December ended at $1,946.30 an ounce, down $93.40 or about 4.6%, the biggest percentage loss in a single session since March 13.

Silver futures for September tumbled $3.21 or about 11% to settle at $26.049 an ounce, posting their steepest fall in a session in dollar terms in almost 9 years. In percentage terms, silver suffered its biggest single-session loss since mid-March 2020.

Copper futures for September settled at $2.8755 per pound, gaining about 0.5%.

Markets remain hopeful that Republicans and Democrats will eventually agree on a comprehensive stimulus package to limit the economic damage caused by the coronavirus pandemic and boost growth.

U.S. congressional leaders and officials in President Donald Trump's administration said on Monday they were ready to resume coronavirus aid talks.

Reports about Russia registering the first vaccine 'Sputnik V.' against the coronavirus lifted sentiment in equity markets and contributed to a drop in demand for precious metals.

Russian President Vladimir Putin said mass production will be available within weeks and expects to produce millions of doses in the coming months.

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