Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

AustinWith many US markets closed for Presidents' Day, gold slid 0.5% to $1,349 in electronic trading as the dollar rebounded slightly from last week's 1.4% fall, reducing demand for alternative stores of value.

In thin holiday trade, the dollar added 0.2% against major rivals, pressuring gold and other commodities priced in it for international trade by making them more expensive overseas. Despite sliding around 0.3% today, the yen remains near a 15-year high against the dollar, fueled by Japan's longest period of growth in 28 years.

A team of Goldman Sachs economists, calling current US fiscal policy "charted territory," is projecting growth to be lifted by 0.7% this year and 0.6% next year by the tax cuts and budget deal Congress has approved in recent months. The impact of these measures is expected to fade after that, according to the report.

With the US national debt surpassing $20 trillion last week for the first time in history, Dan Coats, Director of National Intelligence, told the Senate that the debt is "unsustainable" puts national security at risk.

The other precious metals also fell in electronic trade. March silver dropped 0.6% to $16.62; April platinum slipped 0.3% to $1,009.10; and March palladium tumbled nearly 1% to $1,025.90 and ounce.