Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

AustinGold slipped 0.3% to hold above $1,291 after upbeat news on trade negotiations between China and the US damped demand for safe-haven assets.

Treasury Secretary Steven Mnuchin said this weekend that talks on the pending US-China trade pact are nearing "the final round of concluding issues." With further meetings yet to be scheduled, Mnuchin declared that the deal will have "real enforcement on both sides" and limit China's ability to manipulate its currency.

Risk appetite was tempered, however, by soft US factory data. The Empire State manufacturing index rebounded in April from March's two-year low but remained "fairly subdued," according to the New York Fed's report. While new orders rose significantly, optimism about the longer-term fell sharply as the index for future business conditions dropped to the lowest level in more than three years.

The dollar edged slightly higher, adding less than 0.1% against major rivals, as support from China talks was offset by soft factory data. A stronger dollar pressures gold and other commodities by making them more expensive overseas.

The other precious metals were mixed, with silver adding les than ol1% while platinum and palladium dropped 0.5% and 1.2%, respectively.

At the Comex close: June delivery slipped $3.90 to $1,291.30; May silver added a penny, to $14.98; July platinum lost $4 to $894.50; and June fell $15.50 to $1,334.70 an ounce.