Gold News & Info

Source:Bill Musgrave, American Gold Exchange

AustinGold fell 0.7% to close under $1,276 as upbeat factory data boosted equities and the dollar, diminishing demand for alternative assets.

The ISM's manufacturing index surged to its highest level in nearly 13 years in September, driven by new orders and high employment prospects. The gain boosted the Atlanta Fed's forecast for Q3 growth in GDP to 2.7%, up from 2.1% last week, and augurs well for the economy in Q4.

Equities rallied into record territory on the rising optimism, with the Dow rising 0.6% and the S&P 500 0.3%. Traders also expect the Republican tax plan, which slashes rates on corporate earnings, to be positive for the stock market.

The dollar extended last week's 1% rise, adding 0.4% on growing expectations of a December rate hike from the Fed. The buck was also support by sharp declines in the euro and pound after Catalan's referendum on independence devolved into violence and UK manufacturing data came in weaker than expected.

The other precious metals were mostly lower, with silver dipping 0.1% while platinum added 0.1% and palladium fell 2.7%.

At the Comex close: December gold fell $9 to $1,275.80; December silver dipped 2 cents to $16.65; January platinum added $1.10, to $916.60; and December palladium lost $25.55 to $911.30 an ounce.