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Gold Price News: Gold Makes Late Gains to Pare Weekly Losses
Gold prices moved back above the $2,600 an ounce mark on Friday, showing a moderate recovery from a mid-week slump.
Prices rose as high as $2,630 an ounce on Friday, up from around $2,595 an ounce in late trades on Thursday.
Gold KAU/USD – 1hr view – Kinesis Exchange
US rate cut drives dollar higher:
Gold prices fell as low as $2,585 an ounce on Wednesday after the US Fed cut interest rates by 25 basis points as expected. The rate cut helped to drive the US dollar up to a two-year high against other major currencies, and this put downward pressure on dollar-denominated gold prices.
Gold showed a modest recovery from the lows on Wednesday, to post week-on-week losses of just under 1%.
Technical analysis:
On the technical charts, gold bounced off oblique minor support at around $2,575 to $2,585 an ounce during the week and was trading on Friday a little below its 20-day moving average at $2,644. On the upside, any further gains from here could encounter oblique minor resistance at $2,698 an ounce. Should gold move lower, prices could re-test horizontal trend-line support at $2,550 an ounce, followed by oblique major support, currently at $2,529 an ounce. Read More
Silver Price News: Silver Edges Up From Three-Month Lows
Silver prices clawed back some ground on Friday, showing a partial recovery from two days of sharp losses.
Prices rose to $29.55 an ounce by late Friday, up from around $29.08 an ounce in late trades on Thursday.
Gold KAU/USD – 1hr view – Kinesis Exchange
Wednesday saw prices drop from around $30.50 to below $29.40 an ounce as the US Fed’s 25-basis-point interest rate cut pushed the US dollar up to a two-year high against other currencies, putting downward pressure on dollar-denominated precious metals prices. Expectations of higher inflation in 2025 have prompted markets to scale back their bets on further interest rate cuts next year – a bearish signal for non-interest-bearing assets like silver.
Three-month low attracts buyers:
Thursday saw a continuation of the bearish trend, with silver prices dipping below the $29.00 an ounce mark – the lowest price since mid-September. The lower numbers may have attracted some bargain hunting, helping silver to stage a modest recovery on Friday to end the week with a 3.4% loss overall.
Technical analysis:
On the technical charts, silver bounced off horizontal major support this week at $28.89 an ounce, and on Friday traded some way below its 20-day moving average at $30.64 an ounce. In addition, the 10-day Relative Strength Index gives a reading of 36, which is low enough to raise the prospect of a short-term bullish swing if conditions are supportive. Should prices head lower, the next level to watch is ascending oblique major support at $28.54 an ounce. Read More
Gold Trades Under Pressure as Investors Digest Fed Policy Modification
The financial markets enter a shortened trading period over the next two weeks as investors celebrate the holidays and the New Year. During this time, market participants continue to process the Federal Reserve's monetary policy modifications announced at last week's final FOMC meeting of the year. Additionally, investors are beginning to factor in the transition to a new presidential administration, with President-elect Trump set to re-enter Washington on January 20 for his second non-consecutive term.
Image source: Kitco News
Following a sharp $63 decline after Wednesday's FOMC meeting conclusion, gold appeared to find support on Thursday and Friday of last week. However, this price recovery failed to maintain momentum into the first trading day of the shortened holiday week, with gold trading moderately lower. As of 4 PM ET, gold futures for the most active February 2025 contract declined by $14.00, or 0.54%, settling at $2626.50.
Market sentiment remains focused on last week's final FOMC meeting, which included the release of the latest summary of economic projections (SEP) containing interest rate forecasts through 2027. A crucial component of the SEP is the "dot plot," released quarterly during alternate FOMC meetings, providing an anonymous overview of where the 19 Federal Reserve committee members expect future Fed funds rates to land. Read More
Nearly half of retail traders expect silver to trade above $40/oz in 2025, experts see gains despite economic challenges
After nearly two years of trading in a relatively narrow range, even as gold prices saw a strong rally, silver joined the party in the first quarter of 2024, ultimately outpacing gold on the year, and industry experts and retail traders see another strong year ahead for the gray metal.
Spot silver kicked off the year, trading at $23.639 per ounce, which was near the lower edge of its range in 2023.
March is when silver prices begin to make their move, as they followed gold's nascent rally, with spot silver rising from $22.440 on February 27 to $25.604 by March 19. After a brief pullback below $25 per ounce, silver once again shot higher at the beginning of April, hitting a high of $28.841 on April 14th before closing the month in the $26.600 range.
May saw the strongest single move in silver prices to date, with spot silver rocketing from $26.554 per ounce on May 2 all the way to $32 on May 20, a level it achieved again on May 27. This was followed by a period of consolidation in its new higher range, as silver prices traded between $28.750 and $31 per ounce through mid-July. Read More
2025 gold price preview: Bulls still in the driver’s seat
I believe the majority of my valued Kitco readers are longer-term investors in precious metals--more of the “buy and hold” types, as opposed to the more active futures traders of precious metals. There’s nothing wrong with more active trading, or even day-trading. In fact, if I had to categorize my trading style, it would be as a more active trader.
For the more active trader, he or she much of the time must deal with the “market noise” that I have written about in my weekly Front Burner email reports. That is, the day-to-day price and market fluctuations that can unpleasantly whipsaw active traders. That’s where the gold market is at present: choppy and sideways, and most recently selling off.
As 2024 winds down and the new year gets under way, I look for more of the same sideways grind in the gold market—barring an unexpected major geopolitical development that could quickly produce keen safe-haven demand for gold and silver.
In late January, U.S. President-elect Donald Trump takes office. It’s likely that the recent choppy trading in gold is at least partly due to traders waiting to see what political and economic actions Trump takes in his first few weeks in office. This includes his relations with China and the European Union, specifically regarding Trump’s threatened trade tariffs. Read More
Gold will likely hit $3,000 in 2025, but analysts are not expecting another 30% rally
Gold's historic rally in 2024 is far from over as the new year approaches; however, many analysts are warning investors to temper their bullish enthusiasm, at least during the first half of the year.
Many analysts expect gold prices to hit $3,000 an ounce next year, but the rally is not expected to materialize until the second half of 2025. At the same time, with prices consolidating around $2,650 an ounce, next year's target would represent roughly a 13% gain compared to this year's nearly 30% rally.
In a recent interview with Kitco News, Chantele Schieven, Head of Research at Capitalight Research, said the gold market is in a wait-and-see mode as investors try to gauge the health of the economy as it battles stubborn inflation.
At the same time, markets are trying to weigh geopolitical risks and uncertainty as President-elect Donald Trump prepares to take the reins of government.
Although gold has been consolidating since prices peaked in late October, Schieven noted that the market has managed to hold its own despite significant headwinds. Read More
Gold holding $2,600 ahead of shortened holiday trading week
Despite ending the week in negative territory, the gold market managed to hold critical support at around $2,600 an ounce, even after the Federal Reserve signaled it would slow the pace of rate cuts in 2025.
Gold struggled during the last full trading week of 2025 as investors prepared for the Federal Reserve to announce a hawkish rate cut.
As expected, the central bank cut the Fed Funds rate by 25 basis points; however, updated economic projections revealed that forecasts for interest rates, also known as the dot plot, indicated only two rate cuts next year, putting rates at 4%. In September, the Federal Reserve had forecasted four rate cuts for the new year.
Analysts note that gold could still face challenges in this environment during the shortened holiday trading season.
Commodity analysts at TD Securities said in a note Thursday that the path of least resistance for gold could be lower in the near-term.
“While we do not expect a rout, given uncertainties surrounding Fed policy should inflation continue to be higher-than-expected (eg. tariffs) and the economy start to slow at the same time, new geopolitical risks and a renewed round of central bank buying, somewhat lower prices are still likely in the near-term. It would not be surprising to see prices drift down to the November lows of $2,537/oz,” the analysts said.
However, other analysts see gold caught in a tug-of-war between the Federal Reserve’s monetary policy and geopolitical uncertainty. Read More
Gold price struggling even as U.S. consumer confidence falls to 104.7
Gold prices are holding support above $2,600 an ounce but are not seeing any solid bullish momentum as U.S. consumer confidence weakens more than expected.
The Consumer Confidence Index dropped to 104.7, down from November’s revised reading of 112.8, the Conference Board said Monday.
The data were weaker than expected, as economists had been looking for a relatively unchanged reading.
“The recent rebound in consumer confidence was not sustained in December as the Index dropped back to the middle of the range that has prevailed over the past two years,” said Dana Peterson, Chief Economist at The Conference Board.
Despite the disappointing data, gold is struggling as it faces renewed selling pressure in thin holiday trading. Spot gold last traded at $2,614.50 an ounce, down 0.30% on the day.
Some economists note that the data are even more disappointing as it comes during the all-important holiday shopping season. Traditionally, consumers spend more when they feel optimistic about the health of the economy. Read More
Gold pressured by stronger greenback, uptick in U.S. Treasury yields
Gold prices are lower in quieter, pre-holiday midday U.S. trading Monday. The yellow metal is being pushed down by solid gains in the U.S. dollar index and an uptick in U.S. Treasury yields to start a holiday-shortened trading week. Silver prices are higher on short covering in the futures market. February gold was last down $12.70 at $2,632.10 and March silver was up $0.312 at $30.27.
U.S. stock indexes are mixed at midday. It’s likely to be a quieter trading week in all the markets as the Christmas holiday falls on Wednesday.
The U.S. marketplace has a bit more risk appetite early this week after last Friday’s U.S. PCE inflation data came in a bit cooler than expected following the Fed’s hawkish pivot on future U.S. monetary policy at last week’s FOMC meeting.
Technically, February gold futures bulls and bears are on a level overall near-term technical playing field. Bulls’ next upside price objective is to produce a close above solid resistance at $2,700.00. Bears' next near-term downside price objective is pushing futures prices below solid technical support at the November low of $2,565.00. First resistance is seen at the overnight high of $2,646.80 and then at Friday’s high of $2,653.80. First support is seen at the overnight low of $2,623.20 and then at $2,600.00. Wyckoff's Market Rating: 5.0.
Image Source: Kitco News
March silver futures bears have the overall near-term technical advantage. A two-month-old downtrend is in place on the daily bar chart. Silver bulls' next upside price objective is closing prices above solid technical resistance at $31.00. The next downside price objective for the bears is closing prices below solid support at the August low of $27.39. First resistance is seen at $30.50 and then at $31.00. Next support is seen at $30.00 and then at $29.50. Wyckoff's Market Rating: 3.5. Read More
Image Source: Kitco News
Fed’s hawkish cut adds pressure to gold, prices will test key support ahead of the holidays – FX Empire’s Hyerczyk
The Fed’s hawkish stance and fewer 2025 rate cuts are keeping gold prices under pressure, and the yellow metal will face key tests of support during the holiday week, according to analyst James Hyerczyk at FX Empire.
Hyerczyk noted that gold was searching for direction amid the holiday trading lull.
“Gold prices dipped on Monday as thin holiday trading kept momentum in check,” he wrote. “After last week’s sharp decline, gold is attempting to recover but faces resistance between $2607.25 and $2607.35. A breakout above $2629.13 is possible, but traders will need stronger volumes to drive further gains — something unlikely until after the New Year.”
Image Source: Kitco News
“If gold can push through $2629.13, it may climb toward the 50-day moving average at $2668.75,” he said. “On the flip side, a drop below $2607.35 could send prices back to $2583.91, with the next key support at $2536.85.”
Hyerczyk said that gold’s price action has been restrained following last week’s 25 basis point rate reduction from the Federal Reserve.
“While the cut initially buoyed prices, the Fed’s forecast for just two rate cuts in 2025 — down from the four projected in September — triggered selling, pulling gold to its lowest level since mid-November,” he noted. “With limited economic data this week and traders stepping back for the holidays, gold is expected to stay within a narrow range. Liquidity remains low, curbing volatility and keeping price movements subdued.” Read More
Gold price will not be at the mercy of the US dollar or Fed’s monetary policy in 2025- State Street’s George Milling-Stanley
The gold market experienced historic moments in 2024 as prices rallied to record highs. According to one market strategist, 2025 could be just as eventful as the world grapples with significant geopolitical and economic uncertainty.
Some highlights of 2024 include unprecedented demand from Asian consumers, which helped drive prices to record levels early in the year. Central banks also purchased gold at a record pace during the first half of the year.
Another major milestone this year was the price of a 14-kilogram London Bullion Market Association good-delivery gold bar surpassing $1 million.
In an interview with Kitco News, George Milling-Stanley, Chief Gold Strategist at State Street Global Advisors, said he expects 2025 to be another exciting and potentially record-setting year for gold.
With the gold market maintaining solid support above $2,600, prices are up more than 25% for the year. At their peak in late November, gold prices had risen over 30%, marking their best gains since 1979. Read More
Live From The Vault - Episode: 204
2025 and Beyond: What’s Next for Gold? Feat Alasdair Macleod
In this week’s Live from the Vault, Andrew Maguire and returning guest Alasdair Macleod examine shifting market dynamics, from central banks’ relentless gold accumulation to the public’s growing understanding of inflation’s true cause.
With 2025 on the horizon, the two precious metals experts emphasise the importance of planning and safeguarding wealth, exploring the challenges posed by mounting debt and the fragility of fiat currencies in today’s volatile global economy.
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.
Featured Image - Source: Unsplash
