Gold News & Info

Source:Bill Musgrave, American Gold Exchange

AustinGold edged up less than 0.1% to close near $1,723 despite sharply higher stocks as the bond yields and the dollar retreated again. It was the metal's third straight day of gains.

Treasury yields ticked down for a third session after the government auction of $24 billion in new 30-year notes found plenty of buyers, reducing concerns that rising inflation expectations will cause further selloffs in bond markets. Falling yields support gold by decreasing the opportunity cost of holding it instead of bonds as a safe-haven asset.

Also pressuring US yields, the European Central Bank announced an expansion of bond-buying, known as the Pandemic Emergency Purchase Programme, to prevent higher borrowing costs as the eurozone economy recovers. Sovereign debt yields among the major economies tend to follow each other as traders look for the best returns.

Wall Street surged, with the Dow and S&P 500 hitting new all-time highs, as the House passed the revised $1.9 trillion Biden relief package. Also supporting risk appetite, jobless claims fell by more than expected last week, suggesting that the labor market may be on the mend.

The dollar also slid for a third session, dropping 0.5% against major rivals as Forex traders opted for riskier currencies. A falling dollar supports gold and other commodities by making them cheaper overseas.

The other precious metals were also higher, with silver gaining 0.2% while platinum added less than 0.1% and palladium and 2.1%.

At the Comex close: April gold added 80 cents, to $1,722.60; May silver picked up 6 cents to $26.19; April platinum edged up 50 cents to $1,202.30; and June palladium gained $48.40 to $2,341.60 an ounce.