Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

AustinGold gained 0.1% to close near $2,023 as the dollar pulled back on weak US data and debt-ceiling worries, boosting alternative stores of value.

The Empire State manufacturing gauge tumbled 42.6 points to minus 31.8 in May, for the biggest plunge since the start of the pandemic and the lowest reading since January. Business conditions in the New York Fed region are expected to slow further as demand weakens this year.

The dollar fell 0.2% against major rivals on the Empire State print and the ongoing debt-ceiling standoff between Republicans in Congress and the Biden Administration. A weaker dollar supports gold and other commodities by making them cheaper in other currencies, lifting demand overseas.

While President Biden voiced "optimism" that an agreement could be reached, Speaker McCarthy said there is "no movement" in his efforts to force drastic spending cuts in exchange for an increase in the debt ceiling, without which the government could default on some financial obligations by June.

The other precious metals were also higher, with silver rising 0.6% while platinum and palladium climbed 0.7% and 1.1%, respectively.

At the Comex close: June gold gained $2.90 to $2,022.70; July silver added 14 cents, to $24.29; July platinum picked up $7.70 to $1,074.70; and June palladium advanced $16.50 to $1,530.30 an ounce.