x
Silver Price News: Silver Gains 3.5% as Gold Powers Higher
Silver prices moved back above $31.00 an ounce on Friday, to end the week in positive territory, as gold prices made more significant gains through the week.
Silver prices notched up an intraday high of $31.44 an ounce on Friday and eased back to around $31.30 an ounce later in the session. That compared with around $30.80 an ounce in late trades on Thursday. Friday’s action left silver prices up around 3.5% over the week.
Silver’s modest gains on Friday came during a bullish week for gold, which rallied across the week as a whole, on the back of expectations of US interest rate cuts next month and safe haven interest amid worries over escalating conflict between Russia and Ukraine.
Silver’s move higher last week followed a three-week slump for the grey metal, which saw prices fall from around $34.90 an ounce on October 22nd to as low as $29.82 an ounce on November 14th. The dip below the $30.00 an ounce mark didn’t last long and appeared to attract renewed buying, lifting prices back above $31.00 an ounce by the end of last week. Read More
Silver KAG/USD – 1hr view – Kinesis Exchange
Gold Price News: Gold Rises to Close Out Week With 5% Gains
Gold prices made further gains on Friday to cap a decidedly bullish week for the precious metal, as the markets assessed the outlook for lower interest rates as well as ongoing geopolitical tensions.
Prices climbed as high as $2,710 an ounce on Friday, up from around $2,670 an ounce in late trades on Thursday. Gold powered higher through the whole week, gaining just under 5%, having traded as low as $2,571 an ounce on November 18th. However, gold starts the week on a more bearish note, trading at around $2,670 an ounce on November 25th.
Gold KAU/USD – 1hr view – Kinesis Exchange
Market weighs outlook for lower rates
Gold appeared to take support from comments by Federal Bank of Chicago President Austan Goolsbee on Thursday, who said he sees interest rates moving ‘a fair bit lower’ over the coming months. This was linked to inflation showing signs of coming down progressively towards the US Fed’s target of 2%, he said, according to news reports this week.
Lower interest rates tend to support assets like gold, which provide no yield. The markets are broadly expecting the US Fed to cut rates by 25 basis points at its next meeting on December 18, although traders have scaled back bets on this outcome over recent days.
Gold supported by conflict risk
Elsewhere, precious metals prices continued to take support from ongoing tensions over the Russia/Ukraine conflict after Russia launched a ballistic missile into Ukraine in response to its recent use of longer-range missiles against Russian territory. Any actions that appear to escalate the conflict tend to increase flows into perceived safe havens like gold.
Gold’s surge last week was all the more remarkable for having come at a time when the US dollar rose against other major currencies – normally a bearish factor for dollar-denominated gold prices. The latest gains for gold come in the context of a two-month low of $2,538 an ounce seen on November 14th. Read More
Gold price punished by profit takers, uptick in risk appetite
Gold and silver prices are strongly lower and near their daily lows in midday U.S. trading Monday, on better investor risk appetite, and heavy profit-taking pressure and weak long liquidation from the shorter-term futures traders. December gold was last down $85.50 at $2,626.80 and December silver was down $0.948 at $30.39.
The U.S. general marketplace is more upbeat to start the U.S.-Thanksgiving-holiday-shortened trading week, and that’s bearish for the safe-haven metals. There are reports Israel and Hamas may be close to a ceasefire agreement. The better risk appetite is also partly due to President-elect Trump picking hedge fund manager Scott Bessent for Treasury secretary. As one market watcher put it, the U.S. financial system is in “safe hands” with Bessent, the head of the U.S. Treasury. Bessent will have a tough new job, as a Wall Street Journal story today is headlined: “Markets shine spotlight on deficits.” That’s one reason U.S. Treasury yields have risen the past several weeks.
Technically, December gold bulls have quickly lost their slight overall near-term technical advantage. Prices are scoring a big and bearish “outside day” down on the daily bar chart. Bulls’ next upside price objective is to produce a close above solid resistance at today’s high of $2,723.20. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $2,600.00. First resistance is seen at $2,650.00 and then at $2,675.00. First support is seen at $2,618.80 and then at $2,600.00. Wyckoff's Market Rating: 5.0.
Image Source: Kitco News
December silver futures bears now have the overall near-term technical advantage. Bears are working to restart a price downtrend on the daily bar chart. Silver bulls' next upside price objective is closing prices above solid technical resistance at $32.00. The next downside price objective for the bears is closing prices below solid support at $29.00. First resistance is seen at $31.00 and then at today’s high of $31.545. Next support is seen at the November low of $29.75 and then at $29.50. Wyckoff's Market Rating: 4.0. Read More
Image Source: Kitco News
Stocks rise, Bitcoin and gold correct as markets respond to Trump policies
Safe-haven assets fell under pressure on Monday while stocks climbed higher as investors reacted to President-elect Donald Trump's choice of Scott Bessent for Treasury secretary and braced for the October Personal Consumption Expenditures (PCE) report, set to be released on Wednesday.
“U.S. stocks edged higher Monday as Wall Street entered a shortened Thanksgiving week,” noted analysts at Secure Digital Markets. “With markets closed Thursday and an early close Friday, expect lower trading volume.”
“Meanwhile, President-elect Donald Trump announced plans to nominate Scott Bessent, founder of Key Square Group, as Treasury Secretary—a move welcomed by investors,” they added. “The market sees Bessent as a stabilizing figure who could temper Trump’s more aggressive protectionist policies, giving equities a potential tailwind.”
After opening higher, stocks faced downward pressure near midday but largely stayed in the green for a positive close, with the S&P, Dow, and Nasdaq finishing up 0.30%, 0.99%, and 0.27%, respectively.
Gold’s rally last week was met with selling on Monday, as traders saw the uptick in price as an opportunity to take profits. At the time of writing, spot gold trades at $2,624.90, a decline of 3.35% on the session.
Data provided by TradingView shows that Bitcoin also experienced a sell-off to start the shortened holiday week, falling from support at $98,000 to hit a low of $94,444, with bears looking poised to challenge lower support levels. Read More
Gold price looks constructive in 2025, but bond yields need to drop sharply to hit $3,000 - WisdomTree’s Nitesh Shah
Volatility in gold remains elevated as the precious metal continues to react to shifting geopolitical uncertainty surrounding President-elect Donald Trump’s incoming administration. However, one market analyst continues to expect gold’s broader uptrend to resume through 2025.
In a recent interview with Kitco News, Nitesh Shah, Head of Commodities & Macroeconomic Research at WisdomTree, said that he expects both the U.S. dollar to move lower in 2025, providing a tailwind for gold.
He added that although Trump’s America-First policies could provide some support for the greenback early in the year, it will be difficult to maintain that momentum as the government’s deficit continues to grow.
“In all likelihood, debts are going to increase and that should soften the dollar,” he said.
At the same time, Shah said that the Federal Reserve’s easing cycle should help to push bond yields lower, another positive factor for higher gold prices.
“Now that we are back to a rate-cutting environment, bonds yields have fallen, and investors are ready to buy gold again,” he said in his latest research note.
Although Shah is bullish on gold, he also sees an upside limit to prices next year. Shah sees gold prices trading around $2,850 an ounce by the fourth quarter of next year. Read More
Gold prices face local peak, silver is the better set-up now – TD Securities’ Ghali
Gold buyers are looking exhausted, signaling that a near-term price top for the yellow metal is likely in, and silver is now looking better-positioned for further gains, according to TD Securities’ Senior Commodity Strategist Daniel Ghali.
In a research note, Ghali pointed out that the recent downturn in gold prices highlighted by sharp liquidations from macro funds aligns very well with historical patterns of previous drawdowns associated with macro fund liquidations from extreme levels which averaged between 7% and 10% over the last ten years.
“However, the strong price action since was less typical — featuring a concurrent decline in open interest in Comex Gold,” he said, “with few directional money manager shorts after accounting for EFPs, continued divestment from ETFs in the West and in China, alongside a notable change in trading behavior from Shanghai traders over the last weeks.”
“We now expect imminent buying exhaustion,” Ghali warned. “Safe-haven demand associated with Russia's ballistic missile launch has hit the tapes supporting prices further than would otherwise be the case, but will likely have to reverse in the near-term.”
“From a macro perspective, the Fed's discounted path is no longer likely to lead to an 'overly easy' policy stance, suggesting that macro fund interest is unlikely to return towards extreme levels,” he added. Read More
Gold market experiences significant downturn in dramatic trading session
The gold market witnessed its most substantial single-day decline in nearly four years, with December gold futures closing at $2,628.50, representing a net decline of $90. This dramatic price movement marks the largest daily price drop since November 2020, sharply contrasting with the previous week's robust gains of $147.
The sudden market correction emerged from a shift in market sentiment based upon both geopolitical and economic factors. A notable shift in sentiment occurred following reports of potential political and diplomatic developments, including President-Elect Donald Trump's selection of Scott Bessent as Treasury secretary and emerging reports of a ceasefire agreement between Israel and Lebanon.
Analysts from Saxo Bank provided insight into the market dynamics, suggesting that Bessent's reputation as a fiscal hawk could potentially inject stability into the US economic landscape. This perspective may have reduced investor anxiety about the US debt situation, consequently diminishing the appeal of gold as a safe-haven asset.
The geopolitical landscape played a significant role in gold's price volatility. While previous tensions involving Ukraine and Russia had driven gold prices upward by 6.5% last week, today gold prices experienced a more than 50% retracement from the daily lows of $2,541.80 to the previous closing price of $2,718.20. Read More
Image Source: Kitco News
Live From The Vault - Episode: 200
Is the US Debt Crisis Fueling Gold's Rise? Feat Schectman, Hemke, and Kientz
In this milestone 200th episode of Live from the Vault, Andrew Maguire is joined by Andy Schectman, Craig Hemke, and Rob Kientz for an in-depth roundtable on how rising interest rates and speculative trading are shaking up gold and silver prices.
The panel explores the implications of these market dynamics and highlights global economic challenges, such as the growing US debt and inflation, urging the importance of holding precious metals as a safeguard against financial uncertainty.
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
