Questions? Call 1-800-613-9323
BBB Logo
Free Shipping on Orders over $999
Home > Gold > Daily Gold Update

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


3/16/2023: Gold dips on banking relief

Source: Bill Musgrave, American Gold Exchange

Austin — Gold dipped 0.4% to close at $1,923 as yields edged higher and risk appetite returned after support was offered to Credit Suisse and First Republic Bank, easing concerns about contagion in the financial markets.

The Swiss National Bank stepped forward to aid Credit Suisse, the beleaguered banking giant, with $54 billion in loans to shore up liquidity and calm investor anxiety. Shares rebounded around 31% after falling as much on Wednesday.

Closer to home, several US megabanks including JPMorgan Chase and Morgan Stanley have offered to deposit as much as $30 billion in struggling First Republic Bank to prevent its collapse. The move reassured US investors fearing sector-wide instability after Signature bank and SVB collapsed last week.

Dramatic losses in debt portfolios because of rapidly escalating interest rates are seen the main drivers of bank fragility.

Wall Street jumped on the stabilizing news, with the Dow and S&P 500 recovering 1.2% and 1.7%, respectively, while the Nasdaq rose 2.5%.

Benchmark 10-year Treasury yields rebounded from around 3.4% to nearly 3.6% on rising risk sentiment, pressuring gold by increasing the opportunity cost for holding it instead of bonds as a safe-haven asset.

Stemming gold's losses, the dollar retreated 0.3% after the ECB raised interest rates by 50-basis points despite the uncertainty in the Eurozone banking sector. A weaker dollar supports gold by making it less expensive in other currencies.

The other precious metals were also lower, with silver dropping 0.9%, platinum 0.7%, and palladium 2.5%.

At the Comex close: April gold slipped $8.30 to $1,923; May silver slid 19 cents to $21.69; July platinum lost $6.80 to $977.10; and June palladium shed $35.50 to $1,409.30 an ounce.

  

Metal Ask      Change
Gold $2,228.99           Price Change Up Arrow $28.20
Silver $25.06           Price Change Up Arrow $0.24
Platinum $921.28           Price Change Up Arrow $10.92
Palladium $1,053.77           Price Change Up Arrow $25.18
In US Dollars