Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

AustinGold rallied 0.9% to close near $1,195 as the dollar fell on muted optimism about trade with China and Turkey's currency crisis, spurring demand for alternative asserts.

Scheduled trade talks begin this week between the US and China, fueling hope that the world's two largest national economies may begin to curtail their escalating war of tariffs. While the meeting is only between low-level representatives, it may lay the groundwork for an economic summit between President Trump and Chinese President XI Jinping in November.

Turkey launched an economic plan to support the lira, which has lost more than 45% of its value this year, including as much as 18% last Friday. Investors fear that ongoing lira-weakness could spread contagion to the Eurozone.

The dollar slid 0.2% as the euro rallied on the Turkish plan and Sino-US trade hopes reduced the buck's safe-haven allure. A falling dollar supports gold and other commodities priced in it for global trade by making them more expensive overseas.

New criticism of the Fed by President Trump also pressured the dollar. Speaking to high-level donors, the President complained about recent rate hikes and singled out Jerome Powell for criticism, saying his chosen Fed Chair has not been the easy-money proponent he expected. Last month, the President tweeted he was "not thrilled" with rate hikes because they boost the dollar, making US exports less price-competitive.

The other precious metals also rose, with silver adding 0.3% while platinum and palladium picked up 2.1% and 2.4%, respectively.

At the Comex close: December gold gained $10.40 to $1,194.60; September silver added 4 cents, to $14.67; October platinum climbed $16.60 to $793.90; and September palladium jumped $20.90 to $898.70 an ounce.