Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

AustinGold edged up 0.1% to close near $1,929 as rising coronavirus cases and uncertainty surrounding the US presidential election fueled safe-haven demand despite a rally in equities.

Global cases of COVID-19 rose to a single-day record above 378,000 on Saturday, according the WHO, with more than 75% occurring within the US. In the past week, 38 states have seen a rise in cases while hospitalizations nationally have risen nearly 9%.

Meanwhile, uncertainty over the upcoming presidential election is also rising, with President Trump refusing to commit to a peaceful transition if he loses, despite being down in most polls.

Gold finished last week at a three-week high buoyed by expectations that another COVID relief package will be forthcoming, given the recovery's recent slowdown and the pandemic's resurging spread.

Along with unprecedented monetary easing from the Fed, the additional fiscal stimulus, and the resulting budget deficits, are widely viewed as inflationary. Investors have traditionally turned to gold as a hedge against inflation and economic uncertainty.

Gold's gains were capped by a solid rise in equities driven by standout performances by tech giants Apple, Microsoft, and Amazon. The tech-heavy Nasdaq jumped 2.5% while the Dow and S&P 500 added 0.9% and 1.7%, respectively.

The dollar near three-week lows, dipping 0.1%.

The other precious metals were mixed, with silver adding 0.7% while platinum and palladium lost 2% and 1.5%, respectively.

At the Comex close: December gold gained $2.70 to $1,928.90; December silver 16 cents to $25.27; January platinum dropped $18 to $876.30; December palladium lost $37.60 to $2,425.60 an ounce.