Gold News & Info

Source:Bill Musgrave, American Gold Exchange

AustinGold jumped 1.1% to close above $1,239, the highest level in a month, as oil rallied and a trade-war truce between the US and China pressured to dollar, boosting demand for alterative stores of value.

Oil prices rose more than 4% to $53 per barrel as Russia and Saudi Arabia signaled that OPEC will extend production cuts when it meets this week. The world's biggest oil producers are expected to slash output by 1.3 million barrels a day to reduce the global glut and support higher prices. Gold often trades in sympathy with oil as a hedge against energy-related inflation.

The US and China announced a temporary cease-fire in their ongoing trade war, putting any new tariffs on hold for 90 days while further negotiations take place. The deal boosted risk-appetite, driving the Dow and Global Dow higher by 1%.

The dollar fell 0.3% on the trade détente as the yuan strengthened and currency traders shifted towards riskier currencies like the euro and commodity currencies like the Aussie dollar. A weaker dollar supports gold and other commodities priced in it for global trade by making them more expensive overseas.

The other precious metals were also higher, with silver rising 2% while platinum and palladium climbed 1.4% and 1.8%, respectively.

At the Comex close: February gold jumped $13.60 to $1,239.60; March silver gained 28 cents to $14.50; January platinum picked up $10.90 to $810.70; and March palladium climbed $21 to a new record at $1,165.60 an ounce