Gold News & Info

Source:Bill Musgrave, American Gold Exchange

AustinGold fell 1.9% to close under $1,699 as promising trials of a coronavirus drug and new federal guidelines for lifting shelter-in-place orders raised risk appetite, rallying equities and undercutting demand for safe havens. The metal finished the week down 3.1% after traders took profits from a 9-session rally to the highest gold prices since October 2012.

The University of Chicago reported that a new treatment for coronavirus has contributed to "rapid recoveries" in 125 patients in trials. Known as remdesivir, the experimental drug from Gilead Sciences is the first medication to show real effectiveness in treating COVID-19, albeit in a small control group.

Separately, the White House announced guidelines for reopening America, saying governors can allow restaurants, movie theaters, and other venues to open when ready. While without actual legal impact, the plan signaled the President's aspiration to "have a working economy…and very, very quickly."

Wall Street leapt at the hopeful news, with the Dow gaining 3% led by Boeing, which jumped 15% on speculation that travel restriction may soon be lifted, resulting in the resumption of jetliner production. Shares in Gilead also rallied sharply, lifting the drug and health care sectors.

Despite the optimism, economic data continues to be frightening. The Conference Board's index of leading indicators plunged 6.7% in March, the most ever recorded. This tumble comes after 22 million workers have lost their jobs, retail sales have dropped by the most ever, and manufacturing has contracted by the most since 1946.

The other precious metals were mixed for the day and week. Silver dropped 2.1% for a weekly loss of 4.7%. Platinum shed 1% today but held a weekly rise of 4.9%. Palladium added 0.5% today and 1% this week.

At the Comex close: June gold dropped $32.90 to $1,698.80; May silver fell 33 cents to $15.30; July platinum slid $8 to $785.30; June palladium added $10.20, to $2,130.90 an ounce.