AGE Daily Gold Update

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

11/4/2019: Gold dips as stocks rise on trade

Source: Bill Musgrave, American Gold Exchange

Austin — Gold finished little changed, dipping 30 cents to hold above $1,511, as trade hopes pushed equities to record highs, dulling demand for safe-haven assets.

US Commerce Secretary Wilbur Ross expressed optimism that "phase one" of a US-China trade pact may be signed this month, and licenses "will be forthcoming very shortly" for US companies to sell products to Chinese telecom giant Huawei.

The limited deal would delay additional tariffs on $250 billion in Chinese imports in exchange for the purchase of around $50 billion in US agricultural products.

All three major US stock indexes posted record highs on the upbeat sentiment, with the Dow and S&P 500 adding 0.3% while the tech-heavy Nasdaq rose 0.5%. Treasury yields also climbed as investors shifted from safety toward risk.

Markets were also bolstered by last week's rate cut from the Federal Reserve and better-than-expected jobs data. Nonfarm payrolls added a surprising 128,000 new jobs in October, suggesting ongoing strength in the labor market.

The dollar gained 0.3% against major rivals, boosted by weakness in the yen and Swiss franc. A stronger dollar typically weighs on gold and other commodities by making them more expensive in other currencies.

The other precious metals were mixed, with silver edging up 0.1% while platinum and palladium fell 1.6% and 1.8%, respectively.

At the Comex close: December gold dipped 30 cents to $1,511.10; December silver added a penny, to $18.07; January platinum dropped $15.30 to $938.70; and December palladium dropped $31.50 to $1,752.80 an ounce.