Daily Gold Update

Source: Bill Musgrave, American Gold Exchange

Austin— Gold climbed for a fourth session, adding another 0.2% to close just under $1,149, as speculation rises that the Fed will refrain from raising interest rates this year. The metal bounced off technical resistance at $1,150, with gains capped by rising stocks and a rising dollar, both of which typically divert monies from alternative assets.

Following last Friday's disappointing nonfarm payrolls report and recent data signaling weakness in manufacturing and the services sector, traders increasingly expect the Fed to hold rates unchanged until well into next year. According to the CME FedWatch calculator, the majority of Fed funds futures traders now see the first hike coming in March 2016.

Lower rates pressure the dollar by reducing its yield, supporting gold and other commodities denominated in the buck by making them less expensive to holders of other currencies. The other precious metals mostly higher, with silver and platinum adding 0.7% and 1.3%, respectively, while palladium shed 1.2%,.

At the Comex close: December gold climbed $2.30 to $1,148.70; December silver picked up 11 cents, to $16.09; January platinum rose $11.70 to $946.40; and December palladium fell $8.20 to 699.50 an ounce.