Gold News & Info

Source:Bill Musgrave, American Gold Exchange

AustinGold gained 0.4% to close above $1,683 rising concerns about global growth caused yields and the dollar to pull back, buoying safe-haven assets. The metal till lost 2.6% this week after hot inflation readings fueled expectations of higher interest rates from the Fed.

FedEx slashed its earnings outlook and called for a shortfall of half a billion dollars, warning that global shipping and logistics, "the pulse of global goods activity," are in a sharp downtrend. The grim outlook echoed similar warning from the IMF and World Bank this week about plunging global growth due to concerted monetary tightening by major central banks.

Wall Street extended its selloff on the FedEx news, tumbling to two-month lows on flights to safety. All three major indexes fell to multi-month lows.

The losses came despite upbeat consumer sentiment data, with the University of Michigan survey climbing to a five-month high on the back of falling gasoline prices. Most Americans remain worried about the future health of the economy, however, according to the survey.

Benchmark 10-year Treasury yields retreated slightly as investors shifted back toward the perceived safety of government debt. Falling yield lift gold by decreasing the opportunity cost for holding it instead of bonds as a safe-haven asset.

The dollar also edged down but ended the week 0.6% higher, holding near 20-year highs. Dollar strength pressures gold and other commodities by making them more expensive in other currencies.

The other precious metals were mixed for the day and week. Silver 0.6% today and 3.3% this week. Platinum slipped 0.3% for the session but added 2.8% for the week. Palladium lost 1.6% today and 3.6% this week.

At the Comex close: December gold gained $6.20 to $1,683.50; December silver rose 11 cents to $19.38; October platinum dipped $2.70 to $901; and December palladium dropped $33.40 to $2,112.70 an ounce.