Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

Austin— Rising for a fourth straight session, gold added another 0.3% to close at a three-month high above $1,236 despite a stronger dollar as investors sought safety from political uncertainty in the U.S. and Europe.

Worries over the fate of the EU fueled demand for safe havens as recent polls showed far-right candidates gaining ground in upcoming elections in France, Germany, and Holland. Marine Le Pen, an advocate of the so-called Frexit, or French exit from the EU, looks to win the first round of voting for President of France. Were France to leave, most strategists believe, the euro would collapse.

Closer to home, the conflict over Trump's travel ban suggests that the President may have many of his initiatives challenged in court, potentially bringing another layer of gridlock to Washington. The lack of policy details on infrastructure spending and an Obamacare replacement have also weighed on investor sentiment, driving Treasury prices to rise alongside gold.

Gold's gains came despite a 0.4% rise in the dollar, driven in part by hawkish comments from regional Fed members. Patrick Harker of the Philly Fed said rate hike is "on the table" for the March FOMC meeting. Last week, John Williams of the SF Fed said the same thing.

CME Fedwatch puts the likelihood of a March hike at merely 9%.

The other precious metals were mixed, with silver rising 0.4% while platinum and palladium fell 0.1% and 1.3%, respectively.

At the Comex close: April gold gained $4 to $1,236.10; March silver climbed 6 cents to $17.76; April platinum dipped $1.20 to $1,012.90; and March palladium lost $9.85 to $764.45 an ounce.