Gold News & Info

Source: Bill Musgrave, American Gold Exchange

Austin— Gold fell 1% to close above $1,248 as upbeat trade data from China boosted the dollar and equities, reducing demand for safe havens.

China reported exports surged more than 11% last month, the first rise in nine months, suggesting Asia's biggest economy may be finally getting some traction.

The unexpectedly positive trade report caused global equities to rally, with the Dow rising 1% and the Global Dow more than 1.7%.

The dollar spike higher by nearly 1% as traders speculated that the Fed may be more inclined to raise interest rates sometime this year. The global fallout from China's persistent slowdown has been a reason for caution in monetary policy, according to Fed Chair Janet Yellen.

The Fed's Beige Book also fed risk appetite, reporting anecdotal evidence that the U.S. economy expanded in March and wages picked up slightly in all but one Fed region.

On the negative side of the ledger, retail sales fell in March for the second time in three months. And wholesale inflation as measured by the producer price index fell last month, adding to the Fed's worries about persistently low inflation.

The other precious metals were mixed on the day, with silver and platinum rising 0.6% and 0.3%, resp4ctively, while palladium slid 0.3%.

At the Comex close: June gold dropped $12.60 to $1,248.30; May silver climbed 10 cents to $16.32; July platinum picked up $3.30 to $1,003; and June palladium fell $1.65 to $542.50 an ounce.