Gold News & Info

Source:Bill Musgrave, American Gold Exchange

AustinGold dipped 0.2% to close under $1,203 as a milder-than-expected response from China to new US tariffs boosted equities and diminished demand for safe-haven assets.

Following yesterday's announcement by President Trump of new tariffs on $200 billion in Chinese imports, China retaliated with $60 billion in new levies against the US. The response was less damaging than many expected, leading analysts to speculate that the hardball negotiations might be nearing a resolution.

US stock indexes rallied as risk appetite returned, with the Dow jumping 0.8% and Nasdaq 0.9%. Rising corporate profits, assisted by dramatically lower corporate tax rates, are fueling speculation that the record-long US bull market still has room to run. Merrill Lynch reported today that fund managers have a net allocation of 21% overweight in US equities, the most since 2015.

The dollar traded mostly sideways before edging up 0.1% against major rivals. The buck has been a primary beneficiary of tough Trump trade policies in recent months, with currency traders shifting towards the relative safety of US assets. That momentum appears to be stalling on concerns that a protracted trade war may retard further economic growth.

The other precious metals were mixed, with silver dropping 0.3% while platinum and palladium rose 1.8% and 2.9%, respectively.

At the Comex close: December gold dipped $2.90 to $1,202.90; December silver dropped 3 cents to $14.19; October platinum climbed $14 to $814.90; and December palladium jumped $27.20 to $1,004.80 an ounce.