AGE Daily Gold Update

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

8/1/2022: Gold gains for fourth session

Source: Bill Musgrave, American Gold Exchange

Austin — Extending last week’s 3.2% rally, gold gained another 0.3% to close near $1,788 as weak US data stoked safe-haven demand and a falling dollar lifted alternative stores of value. It was the metal’s fourth straight winning session, lifting it to nearly one-month high.

The ISM manufacturing index fell in July to a 25-month low, signaling significant weakness in the economy. It was the third straight month of declining factory output. Manufacturing is generally considered a leading indicator of economic health.

Meanwhile, construction spending plunged 1.1% in June, according to the Commerce Department. Private residential construction fell 1.6%, suggesting weakness in the crucial housing market.

The Atlanta Fed slashed its forecast for real GDP growth in Q3 to 1.3% from 2.1% last week. After two straight quarters of negative growth, even a meager increase would be a victory.

The dollar fell 0.5% against major rivals as traders speculated that the Fed will be less aggressive with rate hikes going forward because of the threat of recession. A weaker dollar supports gold and other commodities by making the less expensive in other currencies.

The other precious metals were also higher, with silver rising 0.8% while platinum and palladium climbed 1.3% and 3.1%, respectively.

At the Comex close: December gold gained $5.90 to $1,787.70; September silver added 16 cents, to $20.36; October platinum picked up $11.80 to $901.60; and September palladium futures climbed $69.70 to $2,99.40 per ounce, while.