Daily Gold Update

Source: Bill Musgrave, American Gold Exchange

Austin— Gold gained for a sixth session, adding 0.4% to close at a 15-month high near $1,296, as soft U.S. factory data pressured the dollar, boosting demand for alternative assets. The metal reached as high as $1,306 in intraday trading.

Manufacturing barely grew in April, according the latest ISM survey, signal headwinds to the economy have not subsided. U.S. factories have been all year by the strong dollar and weak global demand. Business conditions are unlikely to improve anytime soon, in the view of executives responding to the survey.

The dollar fell again on the weak data as traders speculate that the Fed is unlikely to raise rates in the near future. The euro rose above $1.15 for the first time since August, supported by better-than-expect Eurozone manufacturing data, and has now gained 6% against the buck so far this year.

The other precious metals were mixed, with silver and palladium shedding 0.8% and 0.5% while platinum added 0.7%.

At the Comex close: June gold gained $5.30 to $1,295.80; July silver lost 14 cents to $17.68; July platinum added $8, to $1,086.40; and June palladium shed $2.90 to $624.75 an ounce.