Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

AustinGold slipped 0.6% to close above $1,832 as the US rollout of the COVID-19 vaccine eroded safe-haven demand despite a weaker dollar. It was the metal's lowest finish in nearly two weeks.

Following emergency approval by the FDA last Friday, shipments of the vaccine produced by Pfizer/BioNTech began yesterday and individuals began to receive inoculations.

The welcome news came as the nation passed a grim milestone of 300,000 deaths from the virus and more regions, including New York, are considering rigid lockdowns again.

Further pressuring gold, negotiations for a new pandemic relief bill remain stuck despite a bi-partisan effort to craft a smaller package. The main sticking point is aid to state and local governments, which Republicans want to consider separately in another bill. Additional stimulus is considered inflationary and therefore bullish for gold in its role as an inflation hedge.

Limiting gold's losses, the dollar fell 0.3% against major rivals after the UK and EU agreed to redouble efforts to create a trade pact before Britain departs the Union on December 31. A weaker dollar supports gold by making it less expensive overseas.

The other precious metals were also lower, with silver sliding 0.2% while platinum and palladium each lost 0.6%.

At the Comex close: February gold fell $11.50 to $1,832.10; March silver dipped 4 cents to$24.05; January platinum slid $6.20 to $1,015.60; and March palladium dropped $14.20 to $2,318.90 an ounce.