AGE Daily Gold Update

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

11/6/2019: Gold rises on trade jitters, data

Source: Bill Musgrave, American Gold Exchange

Austin — Gold rose 0.6% to close above $1,493 as soft US data and jitters about the prospective US-China trade accord weakened stocks and the dollar, boosting demand for alternative assets.

Uncertainty crept back into the markets after reports that a meeting between President Trump and Chinese President Xi Jinping to sign a trade agreement could be delayed until the end of the year. China is reportedly pushing the US for firmer commitments on removing tariffs before committing to the meeting.

Equity markets paused their three-day risk-rally on the renewed jitters. Treasury yields and the dollar both fell as investor shifted back toward safety.

Also pressuring risk appetite, US productivity declined 0.3% during the third quarter. It was the first contraction since 2015, and reflects the recent slowdown in the economy, stemming in part from the trade war with China. Driven by business investment in machinery, equipment, software, and research, productivity growth generates pay raises, profits, and a rising standard of living while keeping inflation low.

The other precious metals were also higher, with silver rising 0.2% while platinum and palladium picked up 0.11% and 0.8%, respectively.

At the Comex close: December gold gained $9.40 to $1,493.10; December silver added 3 cents, to $17.60; January platinum picked up $1.10 to $931.70; and December palladium climbed $14.40 to $1,761.10 an ounce.