Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

AustinNew York spot gold gained 0.3% to close above $3,332 as the dollar and Treasury yields pulled back ahead of this week's trade talks between the US and China. Silver surged another 2.2% to finish at $36.84 an ounce.

Representatives of the US and China met today in London to diffuse a trade war that has damaged both economies. While the 145% tariffs imposed by the Trump administration on Chinese imports have rolled back to 30%, tensions remain high after China threatened to block exports of rare earths, metals needed by many tech products and batteries.

The dollar fell 0.3% against major rivals as global currencies traders continue to be wary of US trade policies and their effect on the economy. A weaker dollar supports gold and other commodities by making them less expensive in other currencies.

Benchmark 10-year Treasury yields also receded slightly after breaching 4.5% over the weekend. Falling yields help gold by decreasing the opportunity cost for holding it instead of bonds for safety.

Platinum and palladium rose 4% and 3.1%, respectively.

At the New York spot close: gold gained $9.40 to $3,332.10; silver climbed 81 cents to $38.84; platinum picked up $46.90 to $1,213.60; and palladium advanced $32.75 to $1,084.40 an ounce.