Daily Gold Update

Source:Dana Samuelson, American Gold Exchange

AustinGold dropped $1.40 today to close the New York trading session down 0.14%, but gold is up 0.6% for the week and 2.8% so far for the month of October. Increased volatility in equity markets world-wide, rising interest rates, and uncertainty over the economic ramifications of trade tariffs, Brexit, and Italy versus the EU’s budget discussions have bolstered the allure of gold and silver over the last several weeks.

Market trading activity today was more subdued than it previously has been this week. The Dow posted a modest gain of 65 points, the S&P 500 fell 1, and the NASDAQ fell 36. The dollar lost ground to the euro, 0.51%, the yen, 0.26% and the pound 0.36%, while commensurately the U.S. dollar index gave up about half of yesterday’s safe haven gains, falling 0.29%, to 95.71.

Technically gold is testing upside resistance, pushing up to just under its 100-day moving average at $1,232. Markets would view a move over this resistance at $1,232 positively. Silver continues to lag gold with the current gold to silver ratio coming in at over 83.5:1. As measured over the last 20-years, this is an extremely high ratio which simply means silver is very undervalued relative to gold today.

At the Comex close: December gold fell $1.4 to $1,228.70; December silver futures gained 4 cents to $14.65; January platinum gained $4.90 to $836.00; and December palladium gained $5.20 to $1,069.90 an ounce.