Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

AustinGold dropped 1.2% to close under $1,336 as the dollar bounced higher and equities rallied, diminishing demand for alternative assets. Traders took profits from last week's 1.6% rise to a one-year high above $1,350.

Risk appetite returned to the markets with gusto after Hurricane Irma proved less destructive than expected and North Korea remained quiet over the weekend. US and global equities rallied strongly with all three major US indexes and the Global Dow gaining around 1%.

While still destructive, Irma was downgraded to a level 4 hurricane from level 5, wreaking less damage to southern Florida than feared. Meanwhile, Pyongyang celebrated its "foundation day" without exploding another nuclear weapon, to the surprise and relief of many traders.

The dollar rebounded from a 30-month low on the shift toward risk, picking up 0.4% against major rivals while adding more than 1% against yen and Swiss franc, considered safe-haven currencies. A rising dollar pressures gold and other commodities priced in it for international trade by making them more expensive overseas.

The other precious metals were mostly lower, with silver and platinum losing 1.2% and 1.3%, respectively, while outlier palladium edged barely higher.

At the Comex close: December gold delivery dropped 0$15.50 to $1,335.70; December silver lost 22 cents to $17.90; October platinum dumped $13.50 to $998.80; and December palladium edged 40 cents higher to $931.65 an ounce.