(Bloomberg) — Gold held a decline on increasing evidence that the omicron virus variant doesn’t pose a major threat to global economic growth. 

The new strain isn’t “the same disease we were seeing a year ago,” and even patients who do end up in the hospital spend less time there, according to John Bell, a University of Oxford immunologist, reinforcing reports about omicron’s milder nature. Yet, Covid-19-related infections are still a major problem and may overwhelm healthcare systems.

Bullion will be suffering its first loss of the year in three years after rising to an all-time high for 2020. As central banks reduce inflation-fighting stimulus from the pandemic era, Bullion could soon experience its first annual decline in three years. Although uncertainty about omicron may have boosted some demand, there are now concerns regarding economic activity and possible reopenings. 

The price per ounce fell 0.1% at $1,805.25 anounce by 8:39 AM in Singapore after a drop of 0.3% on Tuesday. It’s down around 5% this year. Bloomberg Dollar Spot Index remained steady while silver, palladium, platinum and gold were all lower.

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