(Bloomberg) — Gold jumped to an all-time high and the dollar extended its slump as investors mulled the coming Federal Reserve meeting and a smattering of second-wave outbreaks of the coronavirus. European stocks slipped.

The precious metal notched its biggest intraday increase since April and silver surged, while a gauge of the dollar sank to January 2019 levels. Treasuries edged higher, and Bitcoin climbed back above $10,000.

EasyJet Plc, Ryanair Holdings Plc and IAG led the Stoxx Europe 600 Index lower on the U.K.’s decision to quarantine travelers returning from Spain. Futures on the three main U.S. equity gauges rose modestly after they lost ground last week.

Investor concern about the global economy and expectations that the Fed’s open market committee meeting may reinforce a dovish outlook are driving the dollar and precious metals in opposite directions while supporting U.S. equities. Meanwhile, fresh outbreaks of the virus emerged from China to Spain, though cases fell in the populous states of California, Florida and New York.

“The July FOMC meeting should kick off a period from August into mid-September in which markets should price in an increasingly dovish, forward-looking Fed policy via lower real rates,” Morgan Stanley strategists including Matthew Hornbach wrote in a report. “This should benefit breakeven inflation rates, support risk assets, and weigh on the U.S. dollar.”

Elsewhere, an Asian equities benchmark advanced. West Texas crude oil edged lower after last week’s gain.

Here are some key events coming up:

Earnings include Apple, Amazon.com, Alphabet, Chevron, Rio Tinto, L’Oreal, Caterpillar, Samsung, Barclays and Credit Suisse.The Federal Open Market Committee holds its policy meeting on Tuesday, with an announcement due on Wednesday.U.S. second-quarter GDP is expected on Thursday.China PMI data comes Friday.

These are the main moves in markets:


The Stoxx Europe 600 Index fell 0.2% as of 9:41 a.m. London time.Futures on the S&P 500 Index rose 0.4%.Hong Kong’s Hang Seng Index decreased 0.4%.The MSCI Asia Pacific Index gained 0.6%.


The Bloomberg Dollar Spot Index sank 0.6%.The euro climbed 0.5% to $1.1709.The British pound rose 0.3% to $1.2833.The Japanese yen strengthened 0.6% to 105.48 per dollar.Bitcoin gained 5.7% to $10,175.


The yield on 10-year Treasuries declined one basis point to 0.58%.Germany’s 10-year yield decreased one basis point to -0.46%.France’s 10-year yield fell one basis point to -0.153%.Britain’s 10-year yield dipped one basis point to 0.134%.


West Texas Intermediate crude fell 0.3% to $41.18 a barrel.Silver strengthened 6% to $24.14 per ounce.Gold strengthened 2.1% to $1,941.09 an ounce.

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