Gold News & Info

Source:Dana Samuelson, American Gold Exchange

AustinGold prices whipsawed lower, then rebounded today, following the news that inflation in the UK remained stubbornly high at 10.1% year-over-year in March. As the session progressed, however, gold recovered its footing and regained half of the early morning sell off. Gold dipped 0.62% at the close of the New York session.

The UK inflation news sparked concern inflation in the US may prove to be more resilient than anticipated going forward. Concern that persistent inflation may cause the Fed to raise the fed funds rate beyond next month’s anticipated final 0.25% rate hike, and either delay their long-anticipated pause or rate cuts later in the year, buoyed bond yields and the dollar. Gold was inversely pressured lower by both rising bond yields and the rising dollar.

Reinforcing this sentiment were comments by St. Louis Federal Reserve President James Bullard, who called for higher US interest rates to combat inflation, despite a slowing US economy, in an interview with Reuters.

The dollar rose 0.18% on the dollar index and the US 10-year T-Bill yield gained 0.03 basis points.

At the Comex close: June gold shed $12.40 to $2,007.30; May silver rose 11 cents to $25.31; July platinum picked up $8.40 to $1,105.80; and June palladium fell $24.10 to $1,618.80 an ounce.