Gold News & Info

Source:Bill Musgrave, American Gold Exchange

Austin— Gold slipped 0.3% to close at $1,243.50 as oil fell into bear territory, muting demand for alternative stores of value.

Oil prices dropped 2.2% to close just over $43 per barrel, the lowest level since last August, as traders worried that rising output from Libya and the U.S. will negate the effects of OPEC production cuts in reducing the global supply glut. Gold often trades in sympathy with oil as a hedge against energy-related inflation.

Crude has now fallen 20% from its 2017 high of $54, putting it into a technical bear market.

The dollar picked up 0.3% against major rivals, led by a surge against the UK pound after the Bank of England ruled out a rate hike in the near future. A rising dollar typically pressures gold and other commodities denominated in it for international trade by making them more expensive overseas.

The other precious metals were mostly lower, with silver and platinum dropping 0.5% and 0.6%, respectively, while palladium gained 1.4%.

At the Comex close: August gold fell $3.20 to $1,243.50; July silver lost 9 cents to $16.42; July platinum slid $5.40 to $921.50; and September palladium gained $11.55 to $867.15 an ounce.