Gold Slips on U.S. Retail Sales

Gold Slips on U.S. Retail Sales

Gold slips on positive U.S. Retail Sales figures and rebounding bond yields, but the yellow metal is clinging to a three-week high, clinging to a weekly rally.

Gold dropped 0.8% to $1,780 an ounce when U.S. benchmark 10-year Treasury yields recovered earlier Friday from the more than one-week low hit on Thursday. Meanwhile, consumers surprised the markets, spending at a much faster pace than expected in September, per this morning’s Census Bureau report. Retail sales jumped 0.7%, far better than the Dow Jones forecast of a 0.2% decline. Compared to a year ago, sales were up 13.9%. The yellow metal slipped another $10 an ounce on the report to hover around $1,770.

In addition to Treasurys, U.S. currency came under pressure Wednesday and Thursday after the latest inflation and jobs reports and the release of the minutes of the last Federal Reserve policy meeting increased investors certainty that the central bank would act to taper pandemic stimulus measures at policymakers’ next meeting in early November.

December gold futures rose 0.2% Thursday to settle at $1,797.90 an ounce on Comex, the highest closing price in a month. The front-month contract gained 2.3% in the first four days of the week. Gold retreated 3.4% in September after gaining just 90 cents in August. It dropped $14.60 in the third quarter. The yellow metal is down 5.1% so far in 2021. Currently, the December contract is down $30.40 (-1.69%) an ounce to $1,767.50 and the DG spot price is $1,769.30.

In physical news, Barrick Gold Corp. reported third-quarter gold production rose almost 5% from the second quarter as output increased at its Veladero mine in Argentina.

In economic news, the key September inflation report released Wednesday showed that U.S. consumer prices rose more than expected as last month as energy costs increased. the U.S. consumer price index grew by 0.4%, above the 0.3% forecast by economists surveyed by Dow Jones.

Meanwhile, the minutes of the September Fed meeting showed members felt the central bank was close to reaching its economic goals and could begin reducing the help it’s been providing the economy beginning in mid-November. That timetable is more aggressive than many investors had anticipated. Many economists have urged the Fed to act sooner rather than later to rein in inflation that’s at the highest level in three decades.

In other positive news for the economy Thursday, the U.S. initial jobless claims report showed that new applications for new unemployment benefits fell below 300,000 last week for the first time since the pandemic began.

December silver futures increased 1.3% Thursday to settle at $23.48 an ounce on Comex. The front-month contract gained 3.4% in the first four days of the week. Silver retreated 8.2% in September, its fourth consecutive monthly decline, and plummeted 16% in the third quarter. The metal is down 11% so far this year. Silver prices are tied to industrial demand. The December contract is down $0.222 (-0.95%) an ounce to $23.255 and the DG spot price is $23.40.

Spot platinum rose 2.8% Thursday to $1,061.00 an ounce and is up 2.9% so far this week. The metal lost 5.3% last month and 10% last quarter. It’s down 1.2% so far this year. Currently, the DG spot price is up $5.00 an ounce to $1,063.30.

Spot palladium added 0.8% Thursday to $2,158.50 an ounce and is up 3% so far this week. It lost 23% in September, 31% in the third quarter and is down 12% so far in 2021. The DG spot price is currently down $30.40 an ounce to $2,142.50.

 

Disclaimer: This editorial has been prepared by Dillon Gage Metals for information and thought-provoking purposes only and does not purport to predict or forecast actual results. This editorial opinion is not to be construed as investment advice or as a recommendation regarding any particular security, commodity or course of action. Opinions expressed herein cannot be attributable to Dillon Gage. Reasonable people may disagree about the events discussed or opinions expressed herein. In the event any of the assumptions used herein do not come to fruition, results are likely to vary substantially. It is not a solicitation or advice to make any exchange in commodities, securities or other financial instruments. No part of this editorial may be reproduced in any manner, in whole or in part, without the prior written permission of Dillon Gage Metals. Dillon Gage Metals shall not have any liability for any damages of any kind whatsoever relating to this editorial. You should consult your advisers with respect to these areas. By posting this editorial, you acknowledge, understand and accept this disclaimer.

Gold Riding A Rollercoaster Over $1,770

Gold Riding A Rollercoaster Over $1,770

Gold riding a rollercoaster in Wednesday morning trading to regain a position well over $1,770. The yellow metal hit $1,778 an ounce earlier in the day on a weaker dollar, but CPI inflation data briefly dropped the bullion over $20 an ounce. Gold started the trading day steady, hovering around $1,760 an ounce, as investors awaited that key CPI inflation data for September for insight on the Federal Reserve’s stimulus tapering timetable. Continue reading →

Gold Eases Ahead of Jobs Reports

Gold Eases Ahead of Jobs Reports

Gold eases a tad ahead of jobs reports, but is sticking above $1,750 an ounce, as investors awaited the release of key jobs data for September for further direction. The yellow metal briefly hit a one-week high of $1,765 in early Monday trading, getting support from inflation fears. Continue reading →

Gold slips on U.S. Home Sales

Gold slips on U.S. Home Sales

Gold slips on surging U.S. Home Sales reported this morning dropping over $10 an ounce. The yellow metal had regained some turf into positive territory earlier in the trading day on short covering as it hovered near a seven-week low. Gold was under pressure as the dollar and Treasury yields strengthened on anticipation that central banks would increase interest rates sooner than previously anticipated. Continue reading →

Is it still a good time to invest in Palladium?

Is it still a good time to invest in Palladium?

Smart investors are well-versed in diversifying their portfolios with gold, silver, and platinum. So, it makes sense that these popular metals have made the headlines in recent years. But in the background, an inconspicuous industrial metal has been on a stealthy bull run: Palladium. Continue reading →

Gold Slips As Dollar Mildly Rebounds

Gold Slips As Dollar Mildly Rebounds

Gold slips this morning as the U.S. dollar mildly rebounds and investors continue to worry about the uncertainty over China’s Evergrande debt woes, which have roiled global markets. Platinum headed for its biggest weekly rally in six weeks. Continue reading →

Gold Slips As Fed Looms

Gold Slips As Fed Looms

Gold slips over $10 an ounce relinquishing the ground it had regained early Friday, as next week’s Fed meeting loom. The yellow metal had dropped to the lowest level in more than a month in the previous session amid strength in the dollar. Continue reading →

Gold Holding Just Below $1,800

Gold Holding Just Below $1,800

Gold holding just below $1,800, but looks headed for its first weekly drop in five weeks. Its position near the psychological threshold is supported by a slightly weakened dollar and the uncertainty over the worsening pandemic. Continue reading →

Gold Up on Big Jobs Miss

Gold Up on Big Jobs Miss

Gold up on big jobs miss this morning. Gold rose as much as 1% on Friday when the surprise slowdown in U.S. jobs growth in August was announced, raising the possibility that the Federal Reserve will go slow on its tapering plans. The metal was slightly higher throughout early morning trading, supported by declines in the dollar. Continue reading →

Gold Weaker Ahead of Fed Chair Comments

Gold Weaker Ahead of Fed Chair Comments

Gold weaker this morning as various Fed Presidents indicate a hawkish lean, pulling the bullion back $9 an ounce, ahead of Fed Chair comments. Investors now await the Fed Chairman’s speech on the Federal Reserve’s tapering timetable at 10 am Central from the central bank’s annual conference typically held in Jackson Hole, Wyoming, but virtual this weekend. Continue reading →

Gold Ticks Up On Virus

Gold Ticks Up On Virus

Gold ticks up Friday morning, supported by fears that the virus’s Delta variant was continuing to spread. The yellow metal has been kept in check this week as the dollar climbed to the highest level in more than nine months. Palladium headed for its worst week since March 2020. Continue reading →

Add some Platinum to your portfolio

Anxious about the market? Add some Platinum to your portfolio

Rising inflation concerns, government infrastructure spending, and a volatile stock market may have you wondering where to turn to protect your investments. But what if you could invest in a hard asset that hedges inflation like gold, is poised for an exponential spike in demand, is trading at a value, and is in tight supply? Continue reading →

Gold Fighting To Avoid Weekly Drop

Gold Fighting To Avoid Weekly Drop

Gold fighting to avoid a weekly drop as the dollar traded near a four-month high after the latest report on inflation – the producer price index. Futures gained some strength Friday as the spread of the delta variant of the coronavirus continued to worsen, exacerbating uncertainty and keeping a floor under prices. Continue reading →

Gold Struggles Back From Four-Month Low

Gold Struggles Back From Four-Month Low

Gold struggles back from touching four-month low in early Asian trading. The yellow metal is back above $1,740 an ounce after a short-lived drop below $1,700 overnight on speculation that the Federal Reserve may taper the easy monetary policy triggered by the coronavirus pandemic sooner than previously expected. Continue reading →

Gold Drops on Jobs Data

Gold Drops on Jobs Data

Gold drops on very positive Jobs data and unemployment numbers, lifting treasury yields. The yellow metal was already feeling pressure from comments made by a Federal Reserve official indicating that the central bank may taper its easy monetary policy sooner rather than later. Continue reading →

Gold Lifted by Jobs Data

Gold Lifted by Jobs Data

Gold lifted by this morning’s jobs data that shows much weaker than expected growth. The yellow metal was little changed overnight as investors awaited direction from upcoming jobs reports, which are expected to provide a clearer picture of the state of the labor market as the delta variant surges. Continue reading →

Gold Striving For Big Weekly Rally

Gold Striving For Big Weekly Rally

Gold striving for big weekly rally, in spite of a key inflation indicator coming in lower than expected this morning. Still, the yellow metal is looking at its biggest rally in more than two months after the Federal Reserve this week signaled that it was likely to maintain its easy monetary policy in the near term and the dollar remained soft. Continue reading →

Gold Steady Near $1,800

Gold Steady Near $1,800

Gold steady near $1,800 after rising over $1,807 early Wednesday as an equities selloff in China triggered a flight to quality assets and investors awaited a statement at the end of today’s U.S. Federal Reserve’s policy meeting for further direction. Continue reading →

Gold Recovering from Overnight Dip

Gold Recovering from Overnight Dip

Gold recovering from overnight dip as equities face pressure and COVID cases grow. The yellow metal lost ground overnight on a stronger greenback, dropping below the $1,800 mark briefly, but bouncing back as investors take advantage of the dip.

The Dow was down over 500 points (over 1.5%) at the opening bell, ending a 3-week winning streak, as concerns over the rise of the Delta variant grow. The NASDAQ and S&P also struggling this morning, down 55 (-1.2%) and 139 (-0.92%) respectively.

Gold also got some support from declines in U.S. Treasury yields, which were near a one-week low, with 10-year yields dropping to a new 5-month low. Their retreat — and the climbing COVID-19 cases — have made the yellow metal more attractive as a hedge against uncertainty. But the dollar’s gains pressured prices. The dollar index was near a three-month high.

August gold futures rose 0.2% last week to settle at $1,815.00 an ounce on Comex. The front-month contract, which trading near a four-week high last week, slipped 0.8% Friday. Gold has increased 2.5% so far in July. It fell 7% in June in the worst month since November 2016 after advancing 7.8% in May, the best month for the precious metal since July 2020. Gold climbed $372 — or 24% — in 2020 because of uncertainty about the economy and the pandemic and is down 4.2% so far in 2021. The August contract is down $2.70 (-0.15%) an ounce to $1,812.30 and the DG spot price is $1,812.00.

The rapid spread of the delta variant of the coronavirus is forcing new shutdowns around the world as cases climb. That has increased concern that the pandemic isn’t over yet.

“Most people will either get vaccinated, or have been previously infected, or they will get this delta variant,” Dr. Scott Gottlieb, former commissioner of the U.S. Food & Drug Administration during the Trump Administration said Sunday on CBS’s “Face the Nation” program.

Investors will continue to watch for signals on how the economy is dealing with the latest development in the pandemic, including inflation and what the Federal Reserve will do about it. They will also look closely at the labor market.

The June U.S. inflation report last week showed consumer prices jumped the most since 2008 and beat all estimates. Gold is a traditional hedge against inflation. But U.S. weekly initial jobless claims reached a pandemic-era low in the report released last week.

Investors will await the latest weekly jobless claims on Thursday as well as the U.S. existing home sales report. The European Central Bank is scheduled to release a rate decision Thursday.

September silver futures fell 1.7% last week to settle at $25.80 an ounce on Comex. The front-month contract lost 2.3% Friday and is down 1.5% so far this month. Silver fell 6.5% in June after rallying 8.3% in May. The metal rose 47% in 2020 and is down 2.3% so far this year. The September contract is down $0.405 (-1.57%) an ounce to $25.398 and the DG spot price is $25.33.

Spot palladium decreased 6% last week $2,655.00 an ounce and retreated 3.4% Friday. It’s down 4.9% in July and up 8.3% so far in 2021. Currently, the DG spot price is down $47.30 an ounce to $2,603.00.

Spot platinum rose 0.8% last week to $1,115.90 an ounce and fell 2.5% Friday. It’s up 3.3% so far in July. The autocatalyst metal is up 4% in 2021. The DG spot price is down $23.10 an ounce to $1,093.80, currently.

 

Disclaimer: This editorial has been prepared by Dillon Gage Metals for information and thought-provoking purposes only and does not purport to predict or forecast actual results. This editorial opinion is not to be construed as investment advice or as a recommendation regarding any particular security, commodity or course of action. Opinions expressed herein cannot be attributable to Dillon Gage. Reasonable people may disagree about the events discussed or opinions expressed herein. In the event any of the assumptions used herein do not come to fruition, results are likely to vary substantially. It is not a solicitation or advice to make any exchange in commodities, securities or other financial instruments. No part of this editorial may be reproduced in any manner, in whole or in part, without the prior written permission of Dillon Gage Metals. Dillon Gage Metals shall not have any liability for any damages of any kind whatsoever relating to this editorial. You should consult your advisers with respect to these areas. By posting this editorial, you acknowledge, understand and accept this disclaimer.

Gold Jumps Higher on Inflation News

Gold Jumps Higher on Inflation News

Gold jumps higher on inflation news. Early Wednesday gains were sparked by the June U.S. inflation report, released Tuesday, showed consumer prices jumped the most since 2008 and beat all estimates. The just released Producer Price Index gave the yellow metal a further bump. Continue reading →

How Much are Olympic Medals Worth?

How Much are Olympic Medals Worth?

Precious Metals Wholesaler Dillon Gage Metals Unveils Olympian Gold and Silver Worth

ADDISON, TX (July 13, 2021) – This year, one of the world’s largest precious metals wholesale trading firms, Dillon Gage Metals, is sharing secrets behind the globally recognized Olympic medals athletes train so hard to obtain. Continue reading →

Gold Dips As Dollar Gains

Gold Dips As Dollar Gains

Gold dips overnight as dollar gains with the dollar index up 0.2% against its rivals. The yellow metal is back above $1,800, nearing its three-week high, as ongoing concerns about COVID-19 and inflation keep lending support. Continue reading →

July 4th Holiday Hours

July 4th Holiday Hours

While celebrating our nation’s liberty, we will observe the following hours:

FizTrade Electronic Trading*:

  • Friday, July 2nd: Normal close at 4 pm Central
  • Sunday, July 3rd: Normal open at 5 pm Central
  • Monday, July 5th: Close at Noon, opens at 5 pm Central

Trading Room and Refinery:

  • Monday, July 5th: Closed

Have a happy and safe Fourth of July!

*Subject to change without notice. Hours are dependent upon Globex Market hours.