Daily Gold Update

Source: Dr. Bill Musgrave, American Gold Exchange

Austin— Gold slipped 0.2% in a volatile session to close under $1,242 after a historic nuclear accord with Iran reduced its safe-haven appeal. Following extensive negotiations with the U.S. and five other major powers, Iran agreed to cease the production of nuclear-grade enriched uranium and eliminate its current stockpiles in exchange for the easing of foreign exchange sanctions over the next six months.

After falling as low as $1,227, gold rallied back on short-covering and downbeat economic data suggesting that the Fed may postpone the taper of monetary easing until early next year. Pending home sales fell for a fifth consecutive month, hitting a 10-month low, and economists lowered forecasts for U.S. growth over the next two quarters. Oil prices fell and the dollar rose on lower political tensions in the Middle East. The other precious metals were mixed, with silver and palladium rising by 0.1% and 0.8%, respectively, while platinum dropped o.4%.

At the Comex close: February gold slipped $3 to $1,241.60; March silver added on 2.5 cents to $19.93; January platinum fell $4.90 to $1,377.80; and March palladium gained $5.80 to $722.15 an ounce.