Gold News & Info

Source:Bill Musgrave, American Gold Exchange

Austin— Gold dipped 0.1%, holding above $1,212, as the dollar strengthened and traders took profits from Tuesday's 1.4% surge. The metal remains up around 6% so far in 2017.

The dollar recouped 0.6% as bargain-hunters swept in after yesterday's Trump-inspired sell-off. The buck was supported by CPI data showing that consumer inflation rose last year at the fastest clip in five years.

The Fed's Beige Book of anecdotal reports on the economy also helped the dollar by signaling stronger manufacturing in many of the Fed regions.

Interviewed by the Wall Street Journal on Friday, the President-elect startled currency markets by proclaiming that the dollar is "too strong," and its strength is harming U.S. competitiveness in exports. Traders took the statement to suggest his administration may abandon the so-called "strong dollar policy" that has dominated trade policy since the 1990s.

The dollar tumbled 1.2% yesterday as Trump's comments hit the markets when they reopened after the Martin Luther King, Jr. holiday, propelling gold to an eight-month high. A weaker dollar supports gold and other commodities denominated in it for international trade by making them less expensive to uses of other currencies.

The other precious metals were mixed, with silver gaining 0.7% while platinum and palladium fell 1.1% and 0.3%, respectively.

At the Comex close: February gold dipped 80 cents to $1,212.10; March silver gained 13 cents to $17.27; April platinum dropped$11.20 to $971.90; and March palladium slipped $2 to $751 an ounce.