Gold News & Info

Source:Bill Musgrave, American Gold Exchange

AustinGold gained 0.5% to close above $1,645 after the US labor market fell into contraction for the first time in nearly 10 years, fueling demand for safe-haven assets. The metal ended the week down 0.5% as a sustained rally in the dollar, also driven by safe-haven demand, created headwinds for alternative stores of value.

US nonfarm payrolls shed 701,000 jobs in March as the COVID-19 pandemic swept the nation, causing businesses to shutter and commerce to grind nearly to a halt. It was the biggest decline in 11 years, abruptly ending 113 straight months of employment growth.

With 10 million new claims for unemployment benefits filed in the past two weeks, however, the March job losses are likely the tip of the iceberg.

In somewhat more positive economic news, the ISM services index continued to expand in March, although at the slowest rate since August 2016. As similar survey by IHS Markit reported the deepest decline in the index's history, pushing the sector into steep contraction.

In the Eurozone, the IHS Markit PMI plunged to the lowest level in the survey's history, dating back to 1998.

Wall Street fell on the abysmal jobs data, with all three indexes losing 2.2%. The S&P 500 has now fallen 27% since its mid-February peak, erasing more than $7 trillion in wealth.

Yields on Benchmark 10-year Treasurys fell to 0.604% on the jobs data and held those losses after the ISM services report.

Capping gold's gains, the dollar rose 0.4% against major rivals as global investors rushed for the safety of the US currency and Treasurys, which much be purchased in dollars. The buck closed the week with a gain of 2.5%, pressuring gold and other commodities priced in it for global trade by making them more expensive in other currencies.

The other precious metals were lower for the day and week. Silver fell 1.1% for a weekly decline of 0.3%. Platinum fell 1.6% today and 3% this week. Palladium slid 0.7% for a weekly loss of 4%.

At the Comex close: June gold gained $8 to $1,645.70; May silver dropped 16 cents to $14.49; July platinum lost $11.90 to $718.10; and June palladium fell $15.70 to $2,106 an ounce.