Gold News & Info

Source:Bill Musgrave, American Gold Exchange

AustinGold dipped 0.2% to close under $1,802 after sharply higher equities limited demand for safe-haven assets despite a cooling US economy. The metal ended the week down 0.7%.

Wall Street rose for the fourth straight session as upbeat corporate earnings stoked risk appetite. The S&P 500 and Nasdaq both rallied 1% to close at record highs while the Dow picked up 0.7%.

The gains came against a backdrop of lower US economic output and struggling global supply chains. IHS Markit reported its composite PMI index fell in July to a four-month low, with service-oriented businesses falling to a five-month low.

Meanwhile, the devastating Delta variant of the coronavirus is pressuring global supply chains to the point of collapse. Raging infections in Asia have forced many ports to deny access for crews of container ships. In addition, catastrophic floods in China and Germany are further disrupting the flow of goods and materials.

The dollar added 0.1% against major rivals as Forex traders shifted back toward lower-risk currencies. A rising dollar pressures gold and other commodities by making more expensive in other currencies, undercutting demand overseas.

Gold's slide was stemmed after benchmark 10-year Treasury yields retreated on the soft PMI print. Lower yields support gold by decreasing the opportunity cost for holding it instead of bonds as a safe-haven asset.

The other precious metals were lower for the day and mixed for the week. Silver fell 0.6% for a weekly decline of 2.2%. Platinum dropped 2.7% today and 4% this week. Palladium lost 1.6% but still gained 1% for the week.

At the Comex close: August slipped $3.60 to $1,801.80; September silver fell 15 cents to $25.23; October platinum fell $29.20 to $1,061.40; and September palladium shed $42.20 to $2,662.40 an ounce.