Gold News & Info

Source: Dr. Bill Musgrave, American Gold Exchange

Austin— Gold slid 0.4% to close at $1,317 as traders took profits from six consecutive sessions of gains. Driven by geopolitical turmoil and Fed-induced expectations of low U.S. interest rates, gold rallied 4%–adding more than $50 an ounce�in little more than a week, reaching a two-month high above $1,322 before today's minor pullback.

Trade was choppy because of mixed economic data. Gold initially fell as low as $1,308 after comments by St. Louis Fed President James Bullard suggested that interest rates might rise by next March rather than later in the year, as Fed Chair Janet Yellen said last week. Slightly lower first-time jobless claims also weighed on the metal, which then recouped most of its losses after disappointing consumer-spending data for May prompted economists to downgrade growth forecasts for the second quarter.

U.S. equities also slipped, with the Dow and S&P 500 closing around 0.1% lower, while the dollar edged up slightly. A stronger dollar tends to pressure the price of gold and other commodities denominated in dollars for international trade. The other precious metals were mixed, with silver dipping less than 0.1% and platinum losing 0.2% while palladium added 0.3%.

At the Comex close: August gold slid $5.60 to settle at $1,317; July silver dipped one cent to $21.11; July platinum slipped $3.10 to $1,470.10; and September palladium climbed by $2.55 to $835.80 an ounce.