Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

AustinGold dropped 1.7% to close at a three-week low under $1,705 after upbeat data stoked hopes of an economic rebound from the COVID-19 recession, dulling safe-haven demand. It was the metal's third straight losing session.

ADP reported private payrolls shed nearly 2.8 million jobs in May, far fewer than the 8.6 million forecast and the nearly 20 million jobs lost in April. Separately, the ISM survey of non-manufacturing companies rebounded to 45.4% last month from the April low of 41.8%, suggesting that the crucial services sector, while still in contraction, is starting to recover.

Wall Street surged on the positive news, with the Dow jumping 2% and the Global Dow 3.7%. The tech-heavy Nasdaq added 0.8% to approach a new record above 9,680.

The dollar fell 0.4% as Forex traders shifted away from safe-haven currencies. Treasury prices fell alongside gold, lifting yields.

The other precious metals were also lower, with silver losing 1.7% while platinum and palladium slid 0.9% and 1.2%, respectively.

At the Comex close: August gold dropped $29.20, or 1.7%, to settle at $1,704.80; July silver shed 30 cents to $17.96; July platinum slipped $8.20 to $860.50; and September palladium lost $24.40 to $1,958.20 an ounce.