Gold News & Info

Source:Bill Musgrave, American Gold Exchange

AustinGold edged up 0.1% to close above $1,329 after North Korea threatened the US and Japan, and the dollar weakened further despite an uptick in inflation, boosting demand for alternative stores of value.

Pyongyang said today it might "sink" Japan and reduce the US to "ashes and darkness" in retaliation for agreeing to new UN sanctions. The renewed belligerence comes amid signs that the rogue regime is preparing to test another ICBM that could carry a nuclear warhead to Guam and the continental US. Similar tests in recent weeks prompted saber-rattling with the US that helped drive gold to a one-year high on safe-haven inflows.

Consumer inflation rose 0.4% in August, slightly more than expected. Led by sharply higher gasoline and rents. However, the core CPI added just 0.2% and real hourly earnings dropped 0.3%.

The dollar fell 0.2% against major rivals as forex traders shook-off upbeat US inflation data and shifted into the pound and euro. With the Bank of England and ECB signaling tighter monetary policies to come, momentum against the dollar is widely expected to continue this fall. A weaker dollar supports gold and other commodities priced in it for international trade.

The other precious metals finished lower, with silver sliding 0.4% while platinum and palladium lost 0.2% and 2.1%, respectively.

At the Comex close: December gold edged up $1.30 to $1,329.30; December silver dropped 8 cents to $17.79; October platinum dropped $2.30 to $980.90; and December palladium lost $19.40 to $914.30 an ounce.