Gold News & Info

Source:Bill Musgrave, American Gold Exchange

AustinGold dipped 0.2% to close under $1,481 as solid US consumer data lifted stocks and the dollar, undercutting demand for alternative stores of value. The metal ended the week virtually flat, inching up just a few cents.

Consumer spending rose 0.4% in November, the fastest pace since July, as Americans bought more cars and trucks. The uptick came despite a 0.2% reduction in retail sales for the same period. The Fed's preferred measure of inflation, the PCE price index, increased 0.2% for the month. The yearly rate edged up to 1.5%, still well below the Fed's target 2%.

Consumer sentiment jumped in December to its highest point in seven months, according to the University of Michigan survey. Unlike the monthly survey on consumer confidence, which projects spending out six months, consumer sentiment measures attitudes toward purchasing items right now. Consumer spending comprises roughly 70% of GDP.

Wall Street rose again on the encouraging data, with the Dow adding 0.3% while the S&P 500 and Nasdaq picked up around 0.5%. Benchmark 10-year Treasury yields retreated slightly

The dollar added 0.3% against major rivals to close its best week since early November, rising 0.6%. A rising dollar typically weighs on gold and other commodities by making them more expensive in other currencies.

Gold held steady this week despite a strong dollar and record-high stock markets, suggesting that underlying demand remains solid. Lingering uncertainty over the Sino-US trade deal and additional political uncertainty from President Trump's impeachment are keeping investors on edge.

The other precious metals were mixed for the day and week. Silver added 0.4% for a weekly rise of 1.2%. Platinum fell 2.3% today and 1.6% this week. Palladium tumbled 4.8% for the session and 4.4% for the week.

At the Comex close: February gold slipped $3.50 to $1,480.90; March silver added 7 cents, $17.22; January platinum dropped $21.70 to $913.80; and March palladium dropped $92.10 to $1,808.90 an ounce.