Click to verify BBB accreditation and to see a BBB report.
BBB A+ rating

Have questions?
1-800-613-9323
Call us toll free.

 
Shopping Cart (0)
Cart Total: $0.00
shopping cart

Daily Gold Update
Current precious metals news

Printer Friendly Version

Daily Gold Update presents a recap on today's action in the precious metals markets. View archives.


May 3: Gold slips 0.3% as buck rebounds

Source: Bill Musgrave, American Gold Exchange

Austin -- Gold slipped 0.3% to close under $1,292 as the dollar rebounded and traders took profits from the metal's 6.3% rise over the previous six straight winning sessions.

After tumbling to a 15-month low against major rivals, the dollar bounced 0.4% higher as emerging-market currencies were hammered by a 2.5% plunge in oil and renewed fears about China's growth. A stronger dollar pressures gold and other commodities denominated in it for international trade by making them more costly to foreign buyers.

Caixin and Markit reported factory output in China contracted again in March, undercutting hopes that the world's second largest economy was finally stabilizing after months of slower growth. China's manufacturing sector, the engine of its export-driven economy, has now contracted for 14 consecutive months.

Equities pulled back on the China data, with the Dow shedding 0.7% and the Global Dow twice that, as investors shifted into cash and U.S. Treasury bonds, which saw yields drop to a two-week low.

The other precious metals finished lower, with silver dropping 1% while platinum and palladium gave up 1.4% and 2.5%, respectively.

At the Comex close: June gold slipped $4 to $1,291.80; July silver lost 18 cents to $17.50; July platinum for dropped $14.80 to $1,071.60; and June palladium dumped $15.90 to close $608.85 an ounce.




May 2: Gold rallies for sixth straight session

Source: Bill Musgrave, American Gold Exchange

Austin -- Gold gained for a sixth session, adding 0.4% to close at a 15-month high near $1,296, as soft U.S. factory data pressured the dollar, boosting demand for alternative assets. The metal reached as high as $1,306 in intraday trading.

Manufacturing barely grew in April, according the latest ISM survey, signal headwinds to the economy have not subsided. U.S. factories have been all year by the strong dollar and weak global demand. Business conditions are unlikely to improve anytime soon, in the view of executives responding to the survey.

The dollar fell again on the weak data as traders speculate that the Fed is unlikely to raise rates in the near future. The euro rose above $1.15 for the first time since August, supported by better-than-expect Eurozone manufacturing data, and has now gained 6% against the buck so far this year.

The other precious metals were mixed, with silver and palladium shedding 0.8% and 0.5% while platinum added 0.7%.

At the Comex close: June gold gained $5.30 to $1,295.80; July silver lost 14 cents to $17.68; July platinum added $8, to $1,086.40; and June palladium shed $2.90 to $624.75 an ounce.




April 29: Gold, silver surge to 15-month highs

Source: Bill Musgrave, American Gold Exchange

Austin -- Gold surged 1.9% to close at a 15-month high above $1,290 as soft U.S. inflation and spending data combined with a strong yen to pressure the dollar, boosting demand for alternative assets. Silver jumped 1.3% to $17.82, also a 15-month high.

U.S. inflation hardly budged in March, the Commerce Department reported today, with the so-called "core" personal consumption expenditures (PCE) price index rising 0.1% last month. The Fed's preferred measure of inflation, the core PCE has climbed just 1.6% over the past 12 months, well below the Fed's target threshold of 2%.

Consumer spending, which accounts for roughly 70% of GDP, ticked up by just 0.1% in March, less than projected, as Americans chose to save their money.

The dollar extended its slide against major rivals, with the ICE Dollar Index falling another 0.7%, as traders speculated that weak inflation and slow growth will prevent the Fed from raising interest rates anytime soon.

The Bank of Japan's decision this week to forego additional monetary easing is also pressuring the buck, which dropped another 1% to an 18-month low against the yen. A falling dollar supports gold and other commodities denominated in it for international trade by making them less expensive to users of other currencies.

After rallying for the last five sessions, and gold and silver finished 4.4% and 15.1% higher for April, respectively. Platinum jumped 2.6% today for a 10% monthly gain, while palladium picked up 0.5% today and 11% this month.

At the Comex close: June gold surged $24.10 to $1,290.50; July silver rose 23 cents to $17.82; July platinum gained $27.70 to $1,078.40; and June palladium picked up $3.30 to $627.65 an ounce.




April 28: Gold jumps 1.3% to 7-week high

Source: Bill Musgrave, American Gold Exchange

Austin -- Gold jumped 1.3% to close at a seven-week high above $1,266 after the Bank of Japan left interest rates unchanged, causing the dollar to plunge against the yen and boosting demand for alternative stores of value. Silver soared 1.5% to an 11-month high of $17.59.

The BOJ shocked global markets by standing pat on monetary policy at its April meeting, defying widespread expectations of deeper stimulus. Weak domestic consumption, slowing global demand, and the recent strength of the yen have been creating serious headwinds for Japan's fragile recovery, and core consumer fell to minus 0.3% in March, signaling deflation.

Coming one day after the Federal Reserve held U.S. rate unchanged, the BOJ decision caused the yen to spike 3% higher against the dollar for its biggest one-day gain in eight months.

The dollar fell against other major rivals, too, with the ICE Dollar Index dropping another 0.6% to its lowest level since last August. A weaker dollar boosts gold and other commodities by making them less expensive to users of other currencies.

The U.S. economy grew at its slowest pace in two years during the first quarter, with GDP increasing by merely 0.5%, according to government figures released today. Growth has now decreased for four straight quarters.

Platinum and palladium metals also gained sharply, rising 2.5% and 2.4%, respectively.

At the Comex close: June gold jumped $16 to 1,266.40; July silver soared 25 cents to $17.59; July platinum climbed $25.30 to $1,050.70; and June palladium added $14.70, to $624.35 an ounce.




April 27: Gold rises 0.6%, retraces after Fed

Source: Bill Musgrave, American Gold Exchange

Austin -- Gold rose for a third straight day, adding 0.6% to close a one-week high above $1,250, as the dollar traded lower ahead of the conclusion of the Fed's meeting on monetary policy. The metal then surrendered those gains in electronic trading after the central bankers adopted a slightly more optimistic tone about the economy.

As expected, the Federal Reserve voted to keep interest rates unchanged at their April meeting. While offering no real hints about future hikes, their post-meeting statement sounded some upbeat notes about U.S. economic prospects, highlighting improvements in the labor markets and rising household income. It also downplayed the concerns in the previous statement about global financial risks.

On the somber side, the Fed conceded that consumer spending has weakened and exports have fallen since their last meeting. They did not give an assessment of risks to the economy, something Fedwatchers say would have signaled their predisposition toward hiking when they meet again in June.

The dollar rebounded slightly after the statement, boosted by one member voting for a hike this month, but the bounce was short-lived.

The other precious metals also finished higher. Silver jumped 1% to an 11-month high before giving back 0.2% after the Fed statement; platinum rose 0.5%, then added another 0.2%; and palladium closed 0.9% higher and held its gains. Being more directly tied to industry, the PMGs were helped by the Fed's optimism.

At the Comex close: June gold rose $7 to $1,250.40; July silver jumped 18 cents to $17.34; July platinum picked up $5.30 to $1,025.40; and June palladium added $5.15, to $609.65 an ounce.




April 26: Gold adds 0.3% on weak factory data

Source: Bill Musgrave, American Gold Exchange

Austin -- Extending yesterday's rally, gold added 0.3% to close above $1,243 as soft U.S. data undermined the dollar, boosting demand for alternative stores of value.

Durable goods orders climbed 1.8% in March, much less than expected, signaling ongoing weakness in the U.S. factory sector. A proxy for business investment, orders for core capital goods, which exclude military and aircraft purchases, rose a meager 0.8% and were revised lower to negative 2.7% in February.

Combined with recent weakness in retail sales, consumer confidence, trade, and industrial production, the soft durable goods report suggests a major slowdown in economic growth in Q1. After expanding 1.4% to close out 2015, the economy has braked to around 0.3% in 2016, according to forecasts.

The dollar fell 0.3% against major rivals as traders speculate that the Fed, meeting today to plot monetary policy, will be less inclined to raise interest rates in coming meetings because of the weakening data. A falling dollar supports gold and other commodities denominated in it for international trade by making them less expensive overseas.

China's gold imports jumped in March, rising to 64.1 tonnes from 42.9 in February and 61.8 year earlier, according to data from the Hong Kong Census and Statistics Department compiled by Bloomberg. The increase was attributed to stronger investment demand as China's economy stabilizes and incomes rise.

In a bullish development for silver, mine production is forecast to fall for the first time since 2011 just as China's recovery is projected to boost industrial demand for the metal. The deficit should help silver build on its 24% gain so far this year. Like gold, which has gained 18% in 2016, silver has benefitted from expectations that the Fed will be slow to raise interest rates this year.

The other precious metals were mostly higher, with silver and platinum adding 0.6% and 0.2%, respectively, while palladium slipped 0.2%.

At the Comex close: June gold rose $3.20 to $1,243.40; May silver gained 10 cents to $17.11; July platinum added $1.60, to $1,020.10; and June palladium dipped $1.10 to $604.50 an ounce.




April 25: Gold gains 0.8% ahead of Fed

Source: Bill Musgrave, American Gold Exchange

Austin -- Gold gained 0.8% to close above $1,240 as the dollar weakened ahead of this week's meeting of the Federal Reserve, spurring demand for alternative stores of value.

The Fed is almost certain to leave interest rates unchanged when the committee gathers to chart monetary policy later this week, proceeding with the caution outlined by recently Janet Yellen. Slowing global and domestic growth have thrown a wrench in to the plans laid out by the central bank in December when they rose rates for the first time in nearly a decade and forecasted up to four more hikes this year.

The dollar weakened as traders trimmed positions ahead of the FOMC meeting, with the ICE Dollar Index dropping as much as 0.4% early in the session. A softer dollar support gold and other commodities denominated in it for international trade by making them less expensive overseas.

Gold also received support from safe-haven inflows after U.S. new home sales dropped unexpectedly in March and equities weakened, pulled lower by weak earnings and falling oil prices. The Dow was down 0.3% while the Global Dow fell twice that much.

Hedge funds and other large money-managers continue to be bullish on gold's prospects, long positions in gold futures on Comex rising to the highest level in more than three years last Friday.

The other precious metals were mostly higher, with silver and platinum rising 0.6% and 0.7%, respectively, while palladium dipped 0.1%.

At the Comex close: June gold gained $10.20 to $1,240.20; May silver added 11 cents, to $17.01; July platinum picked up $7.60, to $1,018.50; and June palladium dipped 60 cents to $605.60 an ounce.




April 22: Gold falls 1.6% as dollar recovers

Source: Bill Musgrave, American Gold Exchange

Austin -- Gold fell 1.6% to close at $1,230 as the dollar rallied on expectations of deeper monetary easing from the Bank of Japan when it meets next week. The metal slipped to a loss of 0.4% for the week.

The dollar gained 0.6% against a basket of major rivals and spiked to a two-week high against the yen as traders speculate that Europe and Japan will ease further in coming months while the Fed either stands pat or increases interest rates.

Yesterday, ECB chief Mario Draghi forcefully defended negative interest rates and quantitative easing against growing criticism from Germany, saying they will be necessary for a long time to support growth in the Eurozone. Draghi's comments caused the euro to tumble.

Today, the yen fell more than 2% on reports the BOJ may offer negative interest rate loans to financial institutions, effectively letting them get paid for being in debt, in order to weaken the yen and prevent deflation. The yen has gained more than 8% this year despite the BOJ's turn to negative rates on excess bank reserves.

While the Fed is almost certain to hold U.S. rates unchanged at next week's meeting, it has repeatedly signaled its intention to begin tightening sometime later this year despite moribund growth and low inflation. The differential between U.S. monetary policy and the relentless easing overseas has made the dollar relatively attractive to currency traders.

Historically, gold has risen amid negative interest rates as they undermine investor confidence in paper currencies and eliminate an opportunity cost for owning an asset that provides no yield.

In a potentially bullish development for precious metals, Chinese speculators are shifting their focus to commodities and raw materials as China's economy rebounds. Monetary easing by the PBOC created more than $1 trillion in new credit during Q1, and much of it is now flowing into commodities after last year's route in China's stock market.

The other precious metals were down for the day but higher for the week. Silver dropped 1.1% but held a weekly gain of 3.6%. Platinum fell 2% but gained 2.2% for the week. Palladium slid 0.6% today but surged 6.7% this week.

At the Comex close; June fell $20.30 to $1,230; May silver lost 19 cents to $16.90; July platinum dropped $20.70 to $1,011.20; and June palladium slid $3.85 to $606.20 an ounce.




April 21: Gold slips 0.3% on dovish Draghi

Source: Bill Musgrave, American Gold Exchange

Austin -- Breaking a four-session winning streak, gold slipped 0.3% to close above $1,250 in volatile trade as the dollar strengthened behind dovish comments from Mario Draghi about monetary easing in the Eurozone.

Meeting to set policy, the ECB held Eurozone interest rates unchanged, perhaps reacting to criticism from Germany about negative rates despite slow growth and low inflation. The euro rallied hard against the dollar, helping gold to surge to $1,272 while silver jumped as high as $17.72.

However, the currencies reversed direction and the metals surrendered their gains later in the session after ECB Chief Mario Draghi robustly defended the bank's easy money and low-rate policies. A stronger dollar typically weighs on gold and commodities denominated in it for international trade by making them more expensive overseas.

The dollar was also supported by a report that jobless claim fell last week to the lowest level since 1973, suggesting strength in the labor market despite sluggish growth in the first quarter.

The other precious metals were mixed, with silver slipping 0.3% while platinum and palladium added 0.4% and 2.2%, respectively.

At the Comex close: June gold slid $4.10 to $1,250.30; May silver slipped 4 cents to $17.09; July platinum picked up $3.80 to $1,031.90; and June palladium gained $13 to $610.05 an ounce.




April 20: Gold ends flat, silver extends rally

Source: Bill Musgrave, American Gold Exchange

Austin -- Gold held virtually unchanged above $1,254 as rising oil and a stronger dollar spurred demand for risk assets. Silver gained another 1% to close at $17.14, extending yesterday's 4.4% surge.

Oil prices bounced 4% higher after U.S. government data showed a smaller surplus in stockpiles than expected. Speculation that major producers will try again next month to reach an agreement to curtail production also boosted prices.

Equities climbed on rising energy shares, with the Dow rising 0.5% to a fresh 2016 high and the Global Dow adding around half that much. Upbeat U.S. housing data also supported risk appetite, as existing-home sales rebounded 5.1% in March, helping to offset some of the gloom over yesterday's report that new-home starts fell to a one-year low.

The dollar rebounded against major rivals, with the ICE Dollar Index picking up 0.3% as traders position for the possibility of more easing talk out of the ECB when it meets later this week. While policy changes are not expected, traders anticipate pressure on the euro from verbal assurances that the central bank will "do whatever it takes," in Mario Draghi's words, to support the Eurozone economy.

The other precious metals finished solidly higher, with platinum and palladium gaining 1.2% and 2.6%, respectively. Like silver, the PMGs have broader applications for industry than gold, helping them to rise at times with equities on anticipated economic growth. Silver has now gained more than 24% this year, compared to 18% for gold, fueled by expectations for rising industrial demand.

At the Comex close: June gold inched up 10 cents $1,254.40; May silver added 16 cents, to $17.14; July platinum climbed $12.40 to $1,028.10; and June palladium jumped $14.90 to $597.05 an ounce.




To view Daily Gold Update Archives, click here.