Gold prices continue their ascension, hitting a five-week high, and have crested above the $1,600 barrier, holding steady in late-morning action Tuesday, as stocks sold off dramatically in the post-holiday trading session.

The lustrous metal, which is a traditional safe-haven for investors, is benefiting from the current global uncertainty involving the coronavirus outbreak, which is significantly damaging global economic growth. April gold was recently up nearly $20 an ounce, reaching a high above $1,605.

Gold ETFs also climbed higher as stocks dropped, with the SPDR Gold Trust ETF (GLD) up a solid 1.3%, while the VelocityShares 3x Long Gold ETN (UGLD) jumped 3.35% in early afternoon trading.

This move came on the back of a rally on Friday, where Gold futures were up 0.58% Friday, with a similar rally in ETFs as well. The SPDR Gold Trust ETF (GLD) was up 0.48%, while the VelocityShares 3x Long Gold ETN (UGLD) was up over 1.5%.

Investors on Tuesday eschewed stocks in favor of traditionally safer assets such as Treasurys and gold. The benchmark 10-year U.S. Treasury yield fell to around 1.55% (yields move inversely to prices).

“Today’s dosage of economic reality is coming as a wake-up call to global investors who continue to buy into the belief that Chinese authorities have the coronavirus under control,” said Erik Bregar, head of FX strategy at the Exchange Bank of Canada, in a note.

Overnight, Apple warned that earnings won t meet guidance for the first quarter, stating that production and sales have dropped due to the coronavirus.

Apple admonished investors that the company does not anticipate it will achieve its quarterly revenue forecast, citing diminished production and anemic demand in China as a result of the coronavirus outbreak. The tech monster initially said it expected to report net sales between $63 billion to $67 billion in its fiscal second quarter.

The gold market has just been waiting for a big name to crack to push price higher,” said Phillip Streible, chief market strategist at Blue Line Futures.

The analyst also mentioned that it appears that sentiment in equity markets is beginning to change tides and that will continue to support gold prices.

Bart Melek, head of commodity strategy at TD Securities, also said that he is bullish on gold, and that more new should support that position, reminding investors that the firm has a  target for the precious metal of $1,700 an ounce.

“The Apple news is not going to be the only bad report out there. We are going to get more weak data and that will force markets to price in more rate cuts from central banks,” said Melek.

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