Gold News & Info

Source: Bill Musgrave, American Gold Exchange

Austin— Gold gained 0.4% to close near $1,347 after soft U.S. economic data weakened the dollar and boosted demand for alternative assets.

Productivity fell 0.5% in the second quarter and has now tumbled for three straight quarters, according to Labor Department data released today. Rising productivity is generally seen as a precursor to higher wages and bigger corporate profits.

The dollar lost 0.2% against major rivals as traders weighed falling productivity as another reason for the Fed to leave interest rates unchanged. Low rates weigh on the buck, in turn supporting gold and other commodities priced in it for international trade.

China's consumer inflation slowed for the third straight month, adding to concerns that the world's seconding largest economy is gaining little traction. Imports and exports also cooled in July, increasing the odds of additional monetary stimulus from the PBOC.

The other precious metals also finished higher, with silver adding 0.3% while platinum and palladium picked up 0.4% and 0.2%, respectively.

At the Comex close: December gold gained $5.40 to $1,346.70; September silver picked up 6 cents to $19.85; October platinum added $4.50 to $1,159.90; and September palladium edged up $1.05 to $693.30 an ounce.