AGE Daily Gold Update

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

4/19/2024: Gold rises for 5th straight week

Source: Bill Musgrave, American Gold Exchange

Austin — Racing to a new record close, New York spot gold gained 0.7% to finish at $2,398.40 on flights to safety after Israel retaliated against Iran, ratcheting up tensions in the Middle East. The metal ended the week 1.8% higher for its fifth consecutive weekly rise. Silver jumped 1.6% to $28.84 for a weekly gain of 1.8%.

Israel made good on its vow to retaliate against Iran for its drone and missile barrage last weekend, sending drones to attack an area near Isfahan. While no damage was reported, the strike was apparently intended to demonstrate Israel's ability to reach inside Iran itself.

Benchmark 10-year Treasury yields dropped sharply the immediate wake of the attack, touching as low as 4.5% on flights to safety before retracing most of the loss after Iran said it would not retaliate.

Tracking along with yields, the dollar also fell sharply before bouncing back to a small loss.

Crude prices rose 0.6% to more than $83 per barrel on concerns that escalating tensions in the region may interrupt global oil supplies. Gold often trades in sympathy with oil as a hedge against energy-related inflation.

In its semiannual report on financial stability, the Fed said today that high US interest rates are a could destabilize the global financial system. Higher-for-longer rates could strain the balance sheets of households and businesses. Banks with high exposure to commercial real estate and consumer loans could encounter greater losses, reducing the amount of credit in the system.

Platinum fell 1.2% for a weekly loss of 5.8%. Palladium shed 1.2% for a weekly loss of 3.1%.

At the New York spot close: gold gained $16.10 to $2,398.40; silver rose 46 cents to $28.84; platinum dropped $11.10 to $935.40; and palladium slid $12.10 to $1,026.40 an ounce.