Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

AustinGold gained 0.6% to close at a two-week high above $1,565 as concerns about the spread of the coronavirus stifled risk appetite and stoked demand for safe havens.

The SARS-like virus that originated in Wutan, China has now infected more than 600 people and claimed 17 lives across a growing number of countries. To contain the spreading, China has quarantined several cities containing a total of nearly 20 million people, including Wutan, Huangang and Ezhou.

Travel within China and throughout Asia because of the Lunar New Year has accelerated the spread of the virus. While the World Health Organization has said the outbreak is not yet a global emergency, markets are bracing for a possible pandemic that could create a new headwind for global growth.

The Dow edged down as risk appetite gave way. Yields on benchmark government bonds from the US, Germany, Italy, Spain, the UK and Japan all fell as investors shifted toward safety.

The other precious metals were mostly lower, with silver holding steady while platinum and palladium lost 1.4% and 0.3%, respectively.

At the Comex close: February gold gained $8.70 to $1,565.40; March silver was virtually unchanged at $17.83; April platinum dropped $14 to $1,007.30; and March palladium slid $6.60 to $2,329 an ounce.