Gold News & Info

Source:Bill Musgrave, American Gold Exchange

AustinGold slid 0.4% to close under $1,322 as the dollar rose and oil fell sharply for a second session, reducing demand for alternative stores of value.

The dollar extended yesterday's rise, adding 0.4% against a basket of major rivals and nearly 1% against the euro, after European Central Bank chief Mario Draghi declared his commitment to holding interest rates at current levels well beyond the end of quantitative easing.

Low rates on the euro encourage foreign exchange investors seeking higher yields to shift into the dollar, given the Fed's published plan of raising rates at least three times this year. In turn, a rising dollar pressures gold and other commodities priced in it for global trade by making them more expensive overseas.

Oil tumbled another 1.7% to a three-week low just over $60, extending yesterday's 2% plunge as continuing increases in domestic production added to global over-supply. Trade-war rhetoric also hurt prices as traders worry that protectionist policies will reduce demand and slow the economy. Gold often trades in sympathy with oil as a hedge against energy-related inflation.

The other precious metals were mixed, with silver edging up 0.1% while platinum dipped 0.1% and palladium gained 0.7%.

At the Comex close: April gold slid $5.90 to $1,321.70; May silver added 1 cent, to $16.50; April platinum dipped 90 cents to $952.30; and June palladium rose $6.55 to $965.60 an ounce.