Gold News & Info

Source: Dr. Bill Musgrave, American Gold Exchange

Austin— With markets reopened after the Presidents Day holiday, gold finished 0.4% higher than Friday's close but off yesterday's electronic trading levels as traders took profits from the recent rally. Although it receded from highs of $1,332 established during electronic trading on Monday, gold techincally posted a gain on Comex today, closing at $1,224 and extending its rally to an impressive nine straight trading sessions. The metal has gained more than 4% in the past week and 10% so far this year on rising safe-haven demand because of lingering concerns about the global recovery and the stability of emerging markets currencies.

New economic data added to worries about a slowdown in the U.S. recovery and further supported gold and silver. The Empire State manufacturing index tumbled in January after a strong December, suggesting that factory output is losing momentum. And home-builder confidence saw its largest one-month drop ever in February, suggesting that causes for the recent downturn in the economy lie deeper than unseasonably cold weather in December. The other precious metals were mixed, with silver closing 2.2% higher than Friday's close while platinum fell 0.4% and palladium dipped 0.1%.

At the Comex close: April gold gained $5.80 to $1,324; March silver jumped 48 cents to $21.90; April platinum dropped $5.60 to $1,424.50; and March palladium dipped 45 cents to $737.15 an ounce.

The World Gold Council published its Gold Demand Trends 2013 today, indicating growing global demand for physical bullion despite waning demand for paper-gold products like ETPs. Sales of gold bars and coins leapt to an all-time high of 1,654 tons. Jewelry demand increased by the largest amount in 16 years, rising to almost 2,210 tons, the most since 2008 and 17% above 2012. Net purchases by central banks raised official gold reserves by 368 tons, the four straight year of increases. And the overall supply of gold decreased by 2% because of reductions in recycling activity.