Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

AustinGold fell 0.6% to close at a two-week low under $1,318 as upbeat manufacturing data boosted the dollar and undermined demand for safe-haven assets.

Two key factory gauges were strong in March. The Empire State manufacturing index rose sharply, and the Philadelphia Fed region posted large increases in new factory orders and shipments. The data reinforced the momentum evident in the February's ISM manufacturing index, which rose to the highest level in 14 years.

Prices for imported goods and services jumped 0.4% in February despite a downtick in energy costs. Over the past 12 months, non-fuel import prices have risen 2.1%, the most since 2012. With the cost of oil included, import prices have risen 3.5% during that period.

The dollar rose 0.3% against major rivals as traders speculated that the solid factory data and higher import prices will support a likely rate hike from the Fed when it meets next week. Higher rates boost the buck by attracting forex monies seeking higher yield, in turn weighing on gold and other commodities priced in dollars for global trade by making them more expensive in other currencies.

The other precious metals were also lower, with silver sliding 0.7% while platinum and palladium fell 0.5% and 0.4%, respectively.

At the Comex close: April gold lost $7.80 to $1,317.80; May silver dropped 12 cents to $16.42; April platinum shed $4.60 to $956.90; and June palladium slid $3.25 to $981 an ounce.