AGE Daily Gold Update

AGE Daily Gold Update presents a recap on today's action in the precious metals markets. View archives.

11/14/2024: Gold dips as dollar rises

Source: Bill Musgrave, American Gold Exchange

Austin — New York spot gold slid 0.5% to close near $2,568 as wholesale inflation ticked up in October and the dollar extended its impressive post-election rally. Silver dipped 0.3% to finish at $30.51 an ounce.

The producer price index rose 0.2% in October, as expected, lifting the 12-month wholesale inflation rate from 1.9% in September to 2.3%, the highest level in four months. The core rate, less food and energy, rose 0.3% for the month and 3.5% for the past 12 months, up from 3.3% in September.

The dollar continued its aggressive climb, adding another 0.2% to reach a new one-year high against major rivals, as traders weighed the effects of reinflation and the coming Trump administration on the Fed’s ability to reduce interest rates further. Trump’s promise of large, blanket tariffs is widely viewed as inflationary.

A rising dollar weighs on gold and other commodities by making them pricier overseas.

Cushioning gold’s drop, benchmark 10-year Treasury yields slipped from four-month highs as stock markets receded on the shifting outlook for interest rates, prompting demand for safe havens. Lower yields reduce the opportunity cost for holding gold instead of bonds.

Platinum added 0.3% while palladium subtracted 0.7%.

At the New York spot close: gold dropped $16.20 to $2,568.20; silver slipped 8 cents to $30.51; platinum picked up $2.65 to $942.25; and palladium dipped ^.30 to $925.70 an ounce.