Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

AustinGold rose 0.4% to close near $1,333 as optimism about a prospective trade deal between the US and China weighed on the dollar, spurring demand for alternative stores of value. The metal finished the week with an 0.8% gain for its second straight weekly win.

China and the US are apparently getting closer to a pact that would end the battle of tariffs between the word's two largest economies. Meeting this week in Washington, negotiators have reportedly made enough progress for President Trump to agree to meet with China's top trade representative, Vice Premier Liu He, to close the deal.

Stocks rose on the upbeat trade view, with the Dow adding 0.7% to close above 26,000 for the first time in more than three months. The dollar fell 0.2% against major rivals as traders shifted toward riskier commodity-related currencies. A falling dollar supports gold and other commodities priced in it for global trade by making them less expensive overseas.

Also pressuring the dollar and lifting gold, Fed Vice Chair Richard Clarida said today the central bank should allow inflation to run above the target 2%. Hotter inflation supports demand for gold and silver, which are often used as inflation hedges.

The other precious metals were higher for the day and week. Silver added 0.7% for a weekly rise of 1.1%. Platinum jumped 2.4% today and 4.8% this week. Palladium rose 1.2% for a weekly gain of 3.9%.

At the Comex close: April gold gained $5 to $1,332.80; March silver rose 11 cents to $15.91; April platinum jumped $19.60 to $845.90; and March palladium climbed $17.10 to $1,462.20 an ounce.