Gold News & Info

Source:Bill Musgrave, American Gold Exchange

AustinGold dipped 0.1% to hold above $1,885 as some upbeat economic data and optimism about coronavirus vaccines neutralized safe-haven demand despite the surging pandemic. It was the metal's first down session in the past four.

Homebuilder confidence leapt in November to a new record high as rock-bottom mortgage rates and COVID worries accelerated the shift in housing demand toward suburbs and low-density areas. In addition, industrial output rose 1.1% in October, signaling continued resilience in important parts of the economy.

US retail sales grew in October, fueled by purchases of electronics, appliances, and building materials. But the 0.3% gain was less than forecast and the smallest since the recovery began in May.

Despite the generally solid data, Wall Street retreated from yesterday's record-high closing, with the Dow and S&P 500 dropping 0.5% and 0.5%, respectively. The dollar slipped 0.2% against major rivals on speculation that the resurgent pandemic will induce the Fed to augment its easy money policies in coming months.

Atlanta Fed President Raphael Bostic reinforced expectations of deeper monetary easing today, telling CNBC that the Fed's policy options "still have some juice" and the central bank is "committed to using all of our tools."

In a separate interview, Fed Chair Jerome Powell made another pitch for additional fiscal stimulus, warning that "here hasn’t been a bigger need for it in a long time."

Deeper easing and stimulus are bullish for gold because they add to the risk of currency debasement and higher long-term inflation.

The other precious metals were mixed, with silver and palladium slipping 0.6% and 0.8%, respectively, while platinum rose 1%.

At the Comex close: December gold dipped $2.70 to $1,885.10; December silver dropped 15 cents to $24.65; January platinum rose $9.60 to $937.10; and December palladium slid $18.60 to $2,326.50 an ounce.