Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

AustinGold gained 0.3% to close near $1,912 as falling consumer confidence and rising COVID-19 cases undercut equities and the dollar, lifting demand for safe havens. It was the metal's sixth rising session in the past seven.

The Conference Board reported consumer confidence fell in October, with Americans becoming more worried about the economy and job market as the recovery stalls and COVID ramps up. The data was compiled before the latest surge has pushed coronavirus infections to new daily records in many states.

Weak earnings and pandemic worries weighed on Wall Street. The Dow and S&P 500 slipped 0.8% and 0.3%, respectively, after industrial blue chips like Caterpillar and 3M posted lower quarterly results. Banks and the energy sector were also weaker.

The tech-heavy Nasdaq bucked the session trend, rising 0.4% on anticipated growth among tech behemoths like Apple, Amazon, and Microsoft.

Adding to risk-off sentiment, a new stimulus package before the election is now off the table after Majority Leader Mitch McConnell adjourned the Senate after confirming Amy Cony Barrett for the Supreme Court.

The dollar fell against major rivals, with Forex investors shifting toward the yen and Swiss franc, traditionally considered safe-haven currencies. A weaker dollar supports gold and other commodities by making them less expensive overseas.

Gold was further supported by a sharp rise in oil prices as WTI crude jumped 2.3% after Tropical Storm Zeta shut down half of US oil production in the Gulf region. Gold often trades in sympathy with oil as a hedge against energy-related inflation.

The other precious metals were mostly higher, with silver rising 0.6% while platinum climber 1.1% and palladium slid 0.6%.

At the Comex close: December gold gained $6.20 to $1,911.90; December silver rose 15 cents to $24.57; January platinum picked up $9.40 to $886.80; and December palladium dropped $14.80 to $2,353.90 an ounce.