Gold News & Info

Source:Bill Musgrave, American Gold Exchange

AustinGold dipped 0.1% to close above $1,977 on profit-taking as yields and the dollar edged higher ahead of next week's Fed meeting. The metal still finished the week with a gain of 0.4% after rising jobless claims stoked expectations that the Fed will keep rates unchanged.

With no significant economic data released today, Benchmark 10-year Treasury yields nudged up to 3.75% as investors held off from purchasing bonds until next Tuesday's inflation report and Wednesday's decision on interest rates.

CME FedWatch puts the likelihood that the central bank will stand pat at 71% with a 20% chance of a quarter-point increase. But the Fed is expected to maintain a relatively hawkish stance, raising the odds of a small increase in July to 53%, according to Fed funds trading.

Higher interest rates lift Treasury yields, weighing on gold by increasing the opportunity cost for holding it instead of bonds as a safe-haven asset.

The dollar tracked higher with yields, picking up 0.2% to bounce off two-week lows. A rising buck also pressures gold by making it more expensive in other currencies.

The other precious metals were mixed for the day and week. Silver climbed 0.3% today and 2.8% this week. Platinum dipped 0.1% but still gained 0.9% this week. Palladium fell 3.9% for a weekly drop of 7%.

At the Comex close: August gold dipped $1.40 to $1,977.20; July silver added 6 cents, to $24.41; July platinum fell $1.10 to $1,012.80; and September palladium shed $53.50 to $1,304.80 an ounce.