Daily Gold Update

Source:Bill Musgrave, American Gold Exchange

AustinGold tumbled 2.2% to close at a two-week low under $1,526 as trade optimism and upbeat US economic data boosted risk appetite, dulling demand for safe-haven assets.

China and the US have agreed to resume trade talks in October, raising hopes that the world's two largest economies can resolve their increasingly acrimonious trade war. The US imposed 15% on $300 billion in Chinese imports on Sunday, prompting Beijing to retaliate with additional duties on US exports.

Wall Street surged on the news, driving the Dow higher by 1.4%, its best day in three months, while the tech-heavy Nasdaq added nearly 1.8%.

Risk appetite was further whetted by a round of solid reports that eased concerns about the health of the economy. The ISM services index rose in August at the fastest rate in three months. Factory orders increased 1.4% in July, according to the Commerce Department. And ADP said the private sector added 195,000 jobs last month, more than forecast.

Gold remains up around 20% so far this year as slowing global growth and stubborn trade conflicts have undermined confidence and spurred investors toward haven assets like gold, silver, and government bonds.

The other precious metals were mostly lower, with silver and platinum dropping 3.8% and 2.1%, respectively, while palladium added 0.6%.

At the Comex close: December gold fell $34.90 to $1,525.50; December silver lost 74 cents to $18.81; October platinum dropped $20.50 to $963.70; and December palladium added $9, to $1,561.10 an ounce.