Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

AustinGold added 0.1% to close above $1,274 as equities slid on renewed trade tensions, boosting safe havens. The metal held its gains after the minutes from the last FOMC meeting signaled no rate hikes for 2019.

All three major US stock indexes were down around 0.4% after the White House said it may sanction another Chinese tech firm, rekindling trade-war worries. The news came one day after the announcement that sanctions against telecom giant Huwaei will be postpone until August to allow US firms in its supply chain to adjust.

The dollar was virtually flat against major rivals, stalling near a one-month high, as support from a falling UK pound was offset by pressure from rising safe-haven currencies like the yen and Swiss franc. Treasury prices rallied on flights to safety, pushing yields on 30-year notes to a seven-week low.

The dollar and gold both held steady after the minutes from the last meeting of the Federal Reserve stated that interest rates are likely to remain unchanged "for some time." Notably, the April 30 meeting preceded the resumption of tariff battles between the US and China, perhaps rendering that position obsolete.

Gold's gains were capped by sharply lower prices for crude oil, which fell 3% as government data showed a large rise in domestic stockpiles. Gold often trades in sympathy with oil as a hedge against energy-related inflation.

The other precious metals were mostly higher, with silver and palladium adding 0.3% and 0.1%, respectively, while platinum slipped 1.2%.

At the Comex close: June gold rose $1 to $1,274.20; July silver gained 4 cents to $14.45; July platinum lost $10.10 to $805.30; and June palladium added $1, to $1,313.50 an ounce.