Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

AustinNew York spot gold rose 0.7% to close near $3,232 as the dollar weakened and bargain-hunters swept in after yesterday's 2.9% tumble. Today's gains came despite upbeat payrolls data and easing trade tensions that lifted equities and Treasury yields. Bullion still lost 1.5% for the week. Silver slid 0.6% to $31.99, notching a weekly loss of 3.1%.

US nonfarm payrolls added 177,000 jobs in April, more than expected, and the unemployment rate held steady at 4.2%. The data suggest that the economy and labor market remain resilient despite a contraction of 0.3% in GDP for the first quarter.

Wall Street surged on the strong jobs report, with all three major US indexes picking up more than 1.5%. Adding to risk appetite, China said it is "evaluating" an offer from the White House to hold talks on tariffs.

Benchmark 10-year Treasury yields rose above 4.3% as traders shifted away from safe-haven assets. Higher yields typically present a headwind for gold because they increase the opportunity cost for holding it instead of bonds.

The dollar fell 0.2% against major rivals as cautious optimism about US-China trade talks lessened demand for safe-haven currencies. A falling dollar supports gold by making it cheaper overseas.

Platinum slipped 0.2% today and 0.6% this week. Palladium picked up 0.5% but held a weekly loss of 0.9%.

At the New York spot close: gold gained $21.90 to $3,231.90; silver slipped 20 cents to $962.90; platinum dipped $1.90 to $962.90; and palladium added $4.85, to $953.75 an ounce.