Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

AustinNew York spot gold slipped 0.5% to close under $3,293 on profit-taking as the dollar rose on weak eurozone economic data despite worries in the bond market. Bullion had risen 4% over the previous three sessions. Silver fell 1.3% to finish at $33.05 an ounce.

President Trump's proposal for huge tax and spending cuts passed the House by a single vote, moving it on to the Senate. The bill is projected by the non-partisan CBO to add nearly $4 trillion to the US debt of $36.2 trillion over the next decade.

Yesterday's poor response to the sale of 20-year Treasurys, along with rising yields on longer-term notes, are the latest indications that the bond market is deeply concerned about the direction of US fiscal policy and the sustainability of the massive US deficits.

Still, the dollar rose 0.3% as the euro weakened after eurozone business activity unexpectedly contracted in May. A rising dollar weighs on gold and other commodities by making them pricier in other currencies.

Platinum added 0.4% while palladium lost 1.2%.

At the New York spot close: gold slipped $17 to $3,292.30; silver dropped 42 cents to $33.05; platinum added $4.15, to $1,078.24; and palladium fell $12.80 to $1,017.65 an ounce.