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Gold Price News: Gold Climbs to Three-Month High
Gold prices pushed higher on Tuesday, rising to a three-month-high amid weakness in the US dollar.
Prices rose to a high of $2,746 an ounce on Tuesday, compared with around $2,710 an ounce in late deals on Monday. That was the highest price for gold since November 1st, 2024.
The US dollar fell sharply against other major currencies on Monday and Tuesday. This tends to put upward pressure on dollar-denominated assets like gold, as it makes the precious metal cheaper for buyers in other currencies.
Potential US tariffs seen as inflationary:
The gold markets were also weighing potentially bearish elements for prices.
The inauguration of US President Donald Trump on Monday has focused minds on the possibility of trade tariffs materialising, which are seen as inflationary, potentially limiting the US Fed’s leeway to cut interest rates further. Trump has already threatened 25% tariffs within days for Mexico and Canada, prompting Canadian Prime Minister Justin Trudeau on Tuesday to warn that Canada will respond if the US goes ahead with tariffs.
Market positioning:
Meanwhile, gold-backed ETFs saw net inflows of 19 tonnes in the week to January 17th, of which 15.9 tonnes were from Europe, according to World Gold Council figures updated January 20th: Gold ETF: Stock, Holdings and Flows. The latest figure compares with net inflows of 5.9 tonnes in the week to January 10th and net outflows of 3.2 tonnes in the week to January 3rd.
Separately, open interest in gold futures contracts on exchanges rose to $189.8 billion in the week to January 17th, rising for the third straight week. The figure compares with $172.5 billion in the week to January 10th. The level of open interest is now close to its 2024 peak of $194.4 billion, seen in the week to October 25th, 2024. Read More
Silver Price News: Silver Tops $31.00 Mark
Silver prices were marginally higher on Tuesday, rising in line with modest gains for gold, which took the yellow metal to a three-month-high.
Silver prices rose as high as $31.01 an ounce on Tuesday, up from around $30.66 an ounce in late trades on Monday, before easing back to around $30.83 an ounce later in the session – a day-on-day gain of around 0.9%.
Markets mull expected US trade tariffs:
The threat of US trade tariffs represents something of a mixed bag for precious metals markets. On the one hand, they create uncertainties over the economy, which can boost interest in safe havens such as gold and silver. On the other, tariffs are seen as pushing inflation higher, limiting the scope for central banks to cut interest rates – a bearish factor for non-interest-bearing assets like precious metals.
Some discussion in the market suggests US trade tariffs could also dent Chinese demand for silver in solar panels by cutting China’s exports. Moreover, this comes at a time when China is already overproducing photovoltaics, prompting industry participants to agree to self-discipline measures including production quotas. Read More
Gold Reaches New Heights Amid Market Shifts and Rising Fiscal Debt
Gold futures continued their upward trajectory, breaking through a key resistance level of $2,655 to reach an over one-month high. As of 5 PM EST, the most active February contract settled at $2,766.30, posting a modest gain of $7.60 (0.28%). The precious metal has not traded at these levels since November 6, when markets experienced significant volatility, with prices swinging from an opening of $2,777 before settling at $2,693, marking an $85 decline. This week's performance shows steady momentum, with gold advancing approximately $26 from its Monday settlement of $2,640.
Image Source: Kitco News
Notable is gold's resilience in the face of typically bearish factors. The precious metal advanced despite modest dollar strength, with the Dollar Index climbing 0.26% to 108.242. Similarly, rising Treasury yields failed to dampen gold's ascent, as the two-year note yield increased by 2.1 basis points to 4.304%, while the ten-year note yield rose three basis points to 4.612%.
Ole Hansen, head of commodity strategy at Saxo Bank, offers insight into the market dynamics: "The Dollar Index futures, which reflect the performance of six major currencies against the dollar, started a strong uptrend in late October, [but is] now showing signs of pausing. This development has added some support to gold."
The precious metal's strength comes amid broader economic uncertainties. According to the latest economic outlook released last week by the Congressional Budget Office, federal debt projections indicate that US debt is expected to rise significantly in the coming years. Read More
Silver to beat gold in 2025 - Saxo Bank’s Hansen
Diversified commodity exposure should continue to perform well in 2025 as a hedge against inflation and economic uncertainty. Specifically, gold and silver are expected to outperform the sector.
Despite the bullish outlook in his 2025 forecast, Ole Hansen, Head of Commodity Strategy at Saxo Bank, recommended that investors be discerning as they build a commodity basket within their portfolios. Gold and silver remain two of his top picks after their historic runs in 2024.
Hansen said he forecasts gold prices to rise to $2,900 an ounce this year, representing a gain of 7% from current levels. However, Hansen sees even more potential in silver, projecting prices to reach $38 an ounce, a gain of nearly 30% from current levels. He added that his outlook is skewed to the upside.
Looking at gold, Hansen noted that the precious metal will remain an important safe-haven asset through 2025.
“The demand for investment metals has been fueled by an increasingly uncertain geopolitical landscape, where global tensions and economic shifts have led investors to seek safer assets, a development that shows no signs of fading anytime soon,” he said. “Additionally, concerns about mounting global debt, particularly in the United States, have prompted investors to hedge against economic instability by turning to precious metals.”
However, he added that investors will need to be patient as the Federal Reserve shortens its easing cycle. Currently, markets are pricing in only one rate cut this year, a sharp contrast to expectations from a few months ago. The U.S. central bank’s hawkish stance could support the U.S. dollar, creating some volatility in the precious metals market. Read More
Gold prices to see another +20% year, rallying to $3,300 as governments continue to spend - AuAg’s Eric Strand
The gold market is experiencing its best start to a year since 2023 and is on track for its strongest monthly performance since September, as prices test the upper end of their range near $2,750 an ounce.
January’s robust start could signal another big year for the precious metal, even after it rallied roughly 27% last year, according to one fund manager.
In his 2025 outlook report, Eric Strand, founder of the boutique precious metals firm AuAg Funds, stated that he expects gold prices to surpass $3,000 an ounce this year.
“We predict that gold will break the $3,000 level during the year and potentially finish even higher, with a realistic target of $3,300,” he said.
Strand’s bullish target represents a 20% gain from current levels. As of 2:15 pm ET, February gold futures were trading at $2,759.20, up 0.39% on the day.
Strand said the new Trump administration could usher in a new era of government stimulus and easier monetary policy.
“Both Donald Trump and Elon Musk have built their empires on loans, lots of loans, while driving full steam ahead,” Strand said in his report. “This will likely be the scenario for the coming four years. Avoiding a ‘bust’ at all costs to create a positive ‘boom.’ The price for this will be monetary inflation. An inflation boom creates a financial environment where commodity prices, including gold, rise significantly.” Read More
Gold, silver and PGM prices are getting a tailwind from falling Treasury yields - FX Empire’s Zernov
Falling Treasury yields are helping to propel gold towards the $2750 level, while silver prices approach $31 per ounce and platinum nears a weekly high amid a broad precious metals rally, according to Vladimir Zernov, market analyst at FX Empire.
Zernov noted that gold is testing multi-week highs in a strong demand environment, with declining Treasury yields providing additional support.
“If gold manages to settle above the $2750 level, it will move towards the resistance at $2780 – $2790,” he said.
Turning to silver, Zernov noted that silver prices are attempting to piggyback on the yellow metal’s strong performance.
“Gold/silver ratio climbed above the 89 level, which was a disappointing development for silver bulls,” he said. “If silver climbs above $31.00, it will move towards the nearest resistance at $31.45 – $31.75.” Read More
Gold Breaks Above Key Technical Level as Dollar and Treasury Yields Weaken
Gold prices demonstrated significant strength in New York trading on Monday, breaking through a critical technical barrier above $2750 and signaling a potential shift in market dynamics. This advance was fueled by concurrent weakness in both the U.S. dollar and Treasury yields, creating an optimal environment for the non-yield-bearing precious metal.
February gold futures settled at $2758.40 at the 4:30 PM EST closing bell, posting a gain of $18.30 or 0.67% per troy ounce. This upward movement aligned with notable weakness in the U.S. dollar index, which declined 1.39% over two trading sessions to 107.966. Treasury markets also softened considerably, with the two-year note yield falling 3.2 basis points to 4.259% and the benchmark 10-year yield dropping 6.3 basis points.
Image Source: Kitco News
The technical landscape for gold has strengthened considerably as the metal overcame a significant double-top resistance level that had previously constrained prices below $2760. This pattern emerged from two distinct peaks – initially on November 22 when gold reached $2743 before falling $85, followed by a second attempt on December 12 reaching $2753.80 before retreating $48.60 the next day.
The subsequent decline took gold futures to $2600, where it found technical support on December 18, establishing a foundation for a measured advance. This methodical rally has not only recovered previous losses but has positioned gold above former resistance levels, opening the possibility of challenging the all-time record high above $2800 per ounce.
Market analysts point to persistent dollar weakness as a potential catalyst for further gains in gold. The greenback's recent retreat enhances gold's appeal to international investors, potentially driving additional buying interest in the precious metals market. Read More
Gold gains, hits 2.5-month high, closing in on record
Gold prices are moderately higher and have hit a 2.5-month high in midday U.S. trading Wednesday, boosted by safe-haven buying as U.S. President Trump “is shaking things up” as the world marketplace nervously watches. Gold prices are now within striking distance of record highs. February gold was last up $10.00 at $2,769.20. March silver was down $0.151 at $31.345.
Technically, February gold futures bulls have the solid overall near-term technical advantage. Prices are trending up on the daily bar chart. Bulls’ next upside price objective is to produce a close above solid resistance at the contract high of $2,826.30. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $2,675.00. First resistance is seen at $2,775.00 and then at $2,800.00. First support is seen at the overnight low of $2,756.20 and then at $2,750.00. Wyckoff's Market Rating: 7.5.
Image Source: Kitco News
March silver futures bulls have the overall near-term technical advantage. Prices are trending up on the daily bar chart. Silver bulls' next upside price objective is closing prices above solid technical resistance at the December high of $33.33. The next downside price objective for the bears is closing prices below solid support at $30.00. First resistance is seen at the overnight high of $31.71 and then at $32.00. Next support is seen at $31.00 and then at this week’s low of $30.77. Wyckoff's Market Rating: 6.0. Read More
Image Source: Kitco News
Gold will protect investors from fiscal calamity - Sprott’s McIntyre
The gold market continues to benefit from a drop in U.S. bond yields and the U.S. dollar, with prices trading near a three-week high above $2,750 an ounce.
The yellow metal is starting the year on solid footing, with prices up 5% in the first month. One fund manager expects the precious metal to remain in a long-term uptrend even as it experiences short-term volatility.
Looking beyond the short-term risks as the Federal Reserve signals a shift in its easing cycle, Ryan McIntyre, Managing Partner at Sprott Inc., said in a recent interview with Kitco News that he remains a long-term gold bull. This stance is based on governments worldwide continuing to debase their currencies through rising debt levels.
“From an uncertainty standpoint, that's probably the biggest wild card for the global economy, which is obviously positive for gold,” he said.
McIntyre’s outlook comes as the U.S. Treasury has already resorted to extraordinary measures due to government spending reaching its debt limit. Before the summer, Congress will have to raise the debt ceiling or face another government shutdown.
McIntyre noted that this economic uncertainty makes gold an attractive safe-haven monetary asset. He added that this is a significant reason why gold has rallied to critical resistance levels, even in the face of higher bond yields.
Ryan explained that while higher bond yields increase gold’s opportunity costs as a non-yielding asset, investors are starting to recognize the greater value of protecting their wealth. Read More
Trump tariffs could have a massive impact on precious metals prices, but not the way many think – TD Securities’ Melek
The newly-installed U.S. administration’s threats of import tariffs as high as 25% continues to roil commodities markets, and while many market participants are focused on potential shortages of physical gold and silver, that’s not where the real impact is likely to be felt, according to Bart Melek, global head of commodity strategy at TD Securities.
Melek was asked to comment on the prospect of Trump’s tariffs in a recent BNN interview, and he managed to remain measured and diplomatic in his responses while still conveying the magnitude of the possible impacts.
“It looks uncertain, I think that's probably the kindest and mildest thing I can say,” Melek said. “Recently, we had a so-called blowout in the EFP exchange for physical silver and gold markets, and that was all because markets were concerned about what the tariffs might be. At this point, we are not looking at global universal tariffs, though they may also be coming, as was said in the Oval Office the other day. Right now, the focus seems to be Canada and Mexico.”
“But it's not only the metals market,” he added. “It's also the energy market, which would be much more important to the broad economy than just the metals market itself.” Read More
Gold rally to peak above $3,000/oz before pulling back in 2025, supported by geopolitical, financial tensions – StoneX 2025 Outlook
Gold prices will benefit from political and financial tensions that might hinder the rest of the metals complex in the first half of 2025, but with much of these uncertainties already priced in and likely receding, the yellow metal will cede its place to silver, copper, and tin as the green and digital rollouts continue to gain pace, according to StoneX Financial.
In their 2025 Annual Metals Outlook published Wednesday, StoneX Head of Market Analysis for EMEA & Asia Rhona O’Connell and Senior Analyst of Base Metals for EMEA & Asia Natalie Scott-Gray warned precious metals investors not to expect a repeat of gold’s standout performance from last year, as silver, copper and tin will likely be 2025’s top gainers.
“This year’s review and outlook for the major base and precious metals markets from the London analysts at StoneX Financial Ltd targets silver, copper and tin as the metals to watch this year, while aluminium is the one of which to be wary,” they wrote in a press announcement. “StoneX expects gold to peak during 2025, possibly having tested $3,000, but finishing the year in retreat.”
In the full Outlook report, O’Connell and Scott-Gray argue that if anything, the global landscape looks even more uncertain than it did in January of 2024.
“This time last year, the world was concentrating on geopolitical risk, notably revolving around over 50 elections with over half the global population having the chance to vote; along with international tensions, both military and trade-related, and lingering stresses in the banking system. None of that has gone away,” they wrote. “In fact at the start of 2025 we are arguably facing more uncertainty and geopolitical risk than we were twelve months ago.” Read More
Disclaimer: These articles are provided for informational purposes only. They are not offered or intended to be used as legal, tax, investment, financial, or any other advice.
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