Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

AustinGold slipped 0.2% to close near $1,738 as rising equities prompted traders to take profits from last week's 1.3% rally.

All three major US stock indexes pushed higher today, driven by a strong rebound in tech stocks led by Tesla, which surged nearly 6% on forecasts that its shares could reach $3,000 in three years. The tech-heavy Nasdaq jumped 1.5% while the Dow and S&P 500 added 0.5% and 0.9%, respectively.

The rise in risk sentiment came despite downbeat US data. The Chicago Fed index showed the US economy contracted in February for the first time since the worst part of the pandemic. Separately, existing home sales fell 6.6%, suggesting momentum in this crucial sector may be slowing.

Backstopping gold, the dollar slipped 0.2% as Forex investors shifted toward riskier currencies. A falling dollar supports gold and other commodities by making them less expensive in other currencies, lifting overseas demand.

The other precious metals were also lower, with silver and palladium dropping 2.1% while platinum fell 1.3%.

At the Comex close: April gold slid $3.60 to $1,738.10; May silver dropped 55 cents to $25; April platinum lost $15.10 to $1,184; and June palladium fell $30.70 to $2,600.20 an ounce.