Gold News & Info

Source:Bill Musgrave, American Gold Exchange

AustinGold gained another 0.4% to close near $1,985, a fresh one-month high, as climbing US and UK inflation boosted demand for alternative stores of value. It was the metal's fifth straight day of gains, its longest streak since February.

The Producer Price index rose 1.4% in March, more than forecast, to drive the 12-month rate to 11.2%, the highest since the early 1980s. Driven mainly by higher food and energy prices, in part the result of Russia's war on Ukraine, it was the biggest monthly increase since 2009.

Separately, UK inflation jumped to a 30-year high in March, also behind food and energy prices driven by the Ukraine war.

Despite the shocking PPI print, benchmark 10-year Treasury yields fell for a second session as investor clung to data showing that core consumer inflation rose by merely 0.3% in March, suggesting the relentless climb in prices may be stalling. Weaker yields support gold by decreasing the opportunity cost for holding it instead of bonds as a safe-haven asset.

The dollar dropped 0.4% against major rivals, lifting gold and other commodities priced in it for global trade by making it less expensive in other currencies.

Also supporting the meal, oil prices rose 3.7% to more than $104 per barrel on rising demand prospects in China and the ongoing war in Ukraine. Gold often trades in sympathy with oil as a hedge against energy-related inflation.

Rising risk appetite capped gold's gains as falling Treasury yields propelled all three major US indexes. The Nasdaq rallied 2% while the Dow and S&P 500 added 1%.

The other precious metals were moistly higher, with silver and platinum rising 1.2% and 1.8%, respectively, while palladium slid 0.6%.

At the Comex close: June gold gained $8.60 to $1,984.70; May silver rose 30 cents to $26.03; July platinum picked up $17.20 to $989.60; and June palladium dropped $14.80 to $2,339.50 an ounce.