Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

AustinNew York spot gold jumped 1.2% to close above $2,667, near its all-time high, after Iran fired missiles into Israel, escalating global tensions and stoking demand for safe havens. Silver rose 31 cents to finish at $31.39 an ounce.

Iran attacked Israel with a barrage of ballistic missiles today in retaliation for series of strikes against Iran-back Hezbollah forces and leadership in Lebanon. The US assisted Israel in defending against the salvo, though the results were unclear.

Benchmark 10-year Treasury yields fell to the lowest levels in a week as the risk of a wider war drove investors into the perceived safety of US government debt. Falling yields boost gold by decreasing the opportunity cost for holding it instead of bonds.

Sharply higher oil prices also supported gold. US benchmark WTI crude jumped 3.5% on concerns that an Iran-Israel conflict could limit Middle East petroleum production. Gold often trades in sympathy with oil as a hedge against energy-related inflation.

Limiting gold's gains, the dollar rose 0,.4% against major rials as global forex traders flocked to the currency for safety.

The Labor Department reported US jobs openings rose more than expected in August, hiring was weak and signaled a slowing labor market.

Platinum rose 1% while palladium slid 0.5%.

At the New York spot close: gold gained $31.20 to $2,667.30; silver added 28 cents, to $988.40; platinum picked up $9.40 to $988.40; and palladium slipped $4.90 to $995.30 an ounce.