Gold News & Info

Source: Dana Samuelson, American Gold Exchange

Austin, TX— Gold added to yesterday�s gains, closing the New York session up $4.60 at $1,123.80 before moving as high as $1,136 in electronic trading following the Fed�s decision to not raise interest rates. In a 9 to 1 vote the Fed cited global headwinds and persistently low inflation as the primary reasons to continue to hold interest rates near zero. �Recent global economic and financial developments may restrain economic activity somewhat and are likely to put further downward pressure on inflation in the near term,� the Fed said in its statement.

In her press conference following the Fed�s decision, Fed Chairwoman Janet Yellen said low oil prices were helping to hold inflation in check while a stronger dollar and weaker demand abroad were contributing to weaker U.S. exports, diminishing overall U.S. GDP in 2015 despite an improving U.S. economy. Yellen said the Fed still anticipates raising interest rates this year.

Following the Fed�s announcement the dollar fell over 70 basis points on the U.S. dollar index, from 95.20 to under 94.50. Precious metals all moved firmly higher. Silver punched as high as $15.27 while platinum and palladium regained earlier losses. Oil remained primarily unchanged.

At the close of the electronic trading session at 4 PM CST December gold closed at $1,130.20, up $13.10 from the NY close; December silver closed at $15.11, up 14 cents from the NY close; October platinum closed at $983.70, up $15.30 from the NY close; and December palladium closed at $609.25, up $10.05 from the NY close.

Earlier in the day prior to the Fed announcement at the Comex close: December gold was down $1.90 to $1,117.30; December silver was up 9 cents to $14.97; October platinum was down $7.30 to $968.40; and December palladium was down $12.75 to $599.20 an ounce.