Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

AustinGold gained 0.7% to close above $1,892 as nervousness ahead of tomorrow's US elections pushed investors into safe havens despite some upbeat economic data and rising equities.

With Joe Biden up in the national polls but Donald Trump rising in key battleground states, the outcome of the 2020 presidential election, perhaps the most bitterly contested in memory, remains deeply uncertain.

Add in the complications of voting during a surging pandemic, widespread expectations of legal challenges from both sides, and the threat of violence from disappointed partisans, and outlook becomes exceptionally volatile.

Anxious investors sought the relative safety of government bonds and gold. Benchmark US Treasurys rallied alongside their French, German, and British counterparts, depressing yields. The dollar was relatively flat, edging up less than 0.1%.

Despite safe-haven appetite, the Dow and S&P 500 rose as traders placed conflicting bets on the outcome. Alternative energy stocks and industrials rallied on hopes for massive infrastructure and green energy programs from Biden; financial and banking stocks were lifted by the prospect of additional deregulation and tax breaks under a Trump second term.

Also lifting risk sentiment in some sectors, the ISM reported manufacturing rose to a two-year high in October. However, survey respondents were pessimistic about continued strength because of record-high new cases of COVID-19 in the US and the return of lockdowns in parts of Europe.

The other precious metals were also higher, with silver jumping 1.6% while platinum and palladium added 1.3% and 0.1%, respectively.

At the Comex close: December gold gained $12.60 to $1,892.50; December silver rose 39 cents to 24.03; January platinum added $11.10, to $859.50; and December palladium picked up $3.20 to $2,220.40 an ounce.