Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

AustinGold slipped 0.6% to close just over $1,199 as upbeat US data and renewed concerns about emerging market currencies boosted the dollar, eroding demand for alternative stores of value.

The ISM reported its manufacturing index jumped to a 16-year high in August, with 16 of 18 industries posting gains. The growing economy and low unemployment are supporting business conditions despite uncertainty about inflation and burgeoning trade conflicts, according to surveyed executives.

Separately, construction spending rose in July, driven by sizable increases in public works, the Commerce Department reported. Private construction spending dipped 0.1%, however.

The dollar gained around 0.5% on the upbeat data, pressuring gold and other commodities priced in it for global trade. Also supporting the buck, the South Africa rand tumbled 2% on weak GDP and rising inflation, while the Mexican peso fell 1%.

The other precious metals were also lower, with silver sliding 2.6% while platinum and palladium lost 1.1% and 0.3%, respectively.

At the Comex close: December gold fell $7.60 to $1,199.10; December silver lost 38 cents to $14.18;

October platinum slipped $8.90 to $778.20; and December slid $2.40 to $967.50 an ounce.