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Silver Price News: Silver Price Rises to Seven-Month High
Silver prices made further gains on Friday to briefly top $25.60 an ounce – their highest price since May. That compares with a low of $24.96 an ounce on Thursday.
Silver took an uplift at the end of the week from strength in gold prices, which hit an all-time high of just over $2,075 an ounce. Gold prices have pushed higher as the markets weigh the prospect of central bank interest rate cuts in the first half of 2024, and this appears to have given silver a leg higher too.
A period of rising interest rates over the last two years has worked to limit the upside for precious metals prices, and the prospect of an end to the hiking cycle, and potentially cuts in the first half of 2024, could clear the way for further gains.
On the fundamentals side, even though global silver demand has been forecast for 2023 at 10% below 2022 levels, the market is set to remain in a supply deficit for a third straight year, with annual demand outstripping supply, according to data released in November by the Silver Institute. Read More
Gold Price News: Gold Price Hits All-Time High as Markets Bet on Rate Cuts
Gold prices pushed up to an all-time high on Friday, as the markets weighed the probability that central banks would cut interest rates in the first half of 2024.
The yellow metal touched a high of just over $2,075 an ounce Friday, marking a third straight week of gains and eclipsing the previous all-time high reached in August 2020.
A number of bullish factors have contributed to propelling prices up to fresh highs.
Aggressive interest rate hikes over 2022 and 2023 had contributed to halting gold’s price gains, and the markets have been mulling the likelihood that central banks have not only finished raising rates but could slash them in the first half of 2024.
Data from interest rate traders indicates a 55% probability that the US Fed will cut rates by 25 basis points at its meeting in March 2024, up from a 47% probability on Thursday last week, based on CME’s FedWatch Tool. Read More
Markets start December with a bang as Bitcoin, altcoins, and gold surge higher
The cryptocurrency market got December off to a strong start as Bitcoin (BTC) hit a fresh 2023 high of $39,000 near midday on Friday, while gold bulls rallied to push the yellow metal to a new all-time high, with February gold futures last trading at $2,091.90 an ounce, up more than 4% from last Friday’s close.
Stocks also trended higher after Federal Reserve Chair Jerome Powell warned that it would be "premature” to conclude that Fed rate hikes are over or “speculate” when cuts could begin, which led to a sharp pullback in Treasury yields and the DXY.
At the market close, the S&P, Dow, and Nasdaq finished in the green, up 0.59%, 0.82%, and 0.55%, respectively. The U.S. 10-year Treasury note fell to 4.213%, and the DXY closed the session at 103.213. Read More
Spot gold price rockets through resistance on Sunday evening, setting new all-time highs
Spot gold opened the Sunday evening session with massive momentum, obliterating key resistance levels and the previous high to set a new all-time high of $2,148.99 within the first half-hour of trading.
Gareth Soloway, Chief Market Strategist at InTheMoneyStocks.com and President of VerifiedInvesting.com, told Kitco News that the move was driven by a powerful combination of rate cut expectations and technical levels.
“Gold surged through its all-time highs on the back of hopes for lower rates sooner (vs higher for longer), future money printing expectations and stops being triggered on the break of $2,100,” he said. “The inverse head and shoulder pattern has triggered (assuming a daily close above $2,080).”
Soloway said a “calculated target for 2024 sits at $2,534,” which would represent a completion of the inverse head and shoulders pattern breakout. Read More
Gold prices establish new support zone, silver's solar demand revised upward - Heraeus
The recent surge in gold prices was boosted by bets that we’ve arrived at peak interest rates, while the solar industry’s demand for silver saw another upward revision, according to the latest precious metals report from analysts at Heraeus.
“Traders are now pricing in that the Fed and the ECB will be more dovish in the first half of the new year,” they noted, which bodes well for gold but not for the broader economy.
“European CPIs came in softer than expected last week,” the analysts wrote, “signalling that the ECB was right to pause rate rises at its last meeting and that its monetary policy is working as intended.”
“The latest Fed interest rate futures imply a 40% probability that the US central bank will begin cutting rates by March 2024,” said the analysts, which represents a shift away from the ‘higher for longer’ narrative. Read More
Gold will post fresh ATHs in 2024 as rate cuts, central bank purchases and geopolitics keep prices above $2,000/oz - ING's Manthey
Gold prices will continue to set new all-time highs in 2024 as they are boosted by a weakening U.S. dollar and Fed rate cuts, according to Ewa Manthey, Commodities Strategist at ING.
“Gold has rallied in the last quarter of the year as demand for safe-haven assets has increased and amid bets that the Federal Reserve will cut rates next year,” Manthey wrote in an article for the Dutch banking giant on Monday.
“Although concerns over a wider Middle East conflict have now eased, gold has held up well, gaining support from a softer US dollar and US Treasury yields on the US interest rate outlook, with prices reaching a new record high in early December,” she said. “We expect prices to remain above the $2,000 level next year as the global rush for gold continues.” Read More
Secret EU gold reserve policy revealed by central bank purchases - Gainesville Coins' Nieuwenhuijs
Poland's central bank has purchased approximately 300 tonnes of gold as it quietly attempts to normalize its gold-to-GDP ratio, an essential benchmark for potential inclusion in the eurozone's future gold standard, according to analyst Jan Nieuwenhuijs at Gainesville Coins.
Nieuwenhuijs wrote that in the European Union (EU) framework, the adoption of the euro by all member countries remains the ultimate goal.
“At the time of writing, the EU counts 27 countries, of which 20 form the eurozone," he said. "For medium and large economies in the eurozone, an equal monetary gold to GDP ratio is a covert requirement for nations to be prepared for a shift to a new gold standard.” Read More
Gold will shoot even higher after the Fed hits the 'panic button' - Ronald-Peter Stoeferle
There will be no soft landing and the U.S. will enter a recession primarily due to the end of fiscal stimulus, predicted Ronald-Peter Stoeferle, managing partner, Incrementum AG.
In mid-November, Stoeferle spoke to Kitco at the 2023 Precious Metals Summit Zurich event.
"Obviously the yield curve we've seen steepening lately, which is the ultimate sign that we're moving into recession, then the leading economic indicator, which has a perfect track record, but also credit is now contracting, if you have a look at M2 money supply, also contracting, so our indicators are clear, we're moving into recession," he said.
While the Fed has paused interest rate increases, Stoeferle said "at some point they will hit the panic button" and start lowering rates again, which will be the point when gold picks up momentum. Read More
Gold spikes to record high, backs off sharply; bulls now exhausted
Gold and silver prices sharply lower in midday U.S. trading Monday, after gold overnight spiked to a new record high of $2,152.30, basis February Comex futures. Silver hit a seven-month-high overnight. The two precious metals markets are seeing the shorter-term futures traders taking profits after the recent solid gains. Importantly, today's price action in gold and silver suggests the bulls are now near-term exhausted and that near-term (but not longer-term) market tops are in place. By this I mean that gold and silver prices have probably peaked for at least a few weeks, it not a while longer, but after that new highs are probable—likely sometime in 2024. February gold was last down $44.10 at $2,046.00. March silver was last down $0.997 at $24.875.
Daily bearish elements for the gold and silver markets to start the trading week are solid gains in the U.S. dollar index, rising U.S. Treasury yields and weaker crude oil prices. However, both metals remain supported by still-overall-bullish technical charts, a generally depreciating U.S. dollar on the foreign exchange market, generally falling bond yields, ongoing safe-haven demand, and notions the major central banks of the world will back off on their interest-rate-increase cycles. A serious escalation in the Middle East turmoil would likely push gold and silver prices higher and in more rapid fashion.
Technically, February gold futures prices scored a record high of $2,152.30 overnight and then promptly reversed course to sell off sharply and score a technically bearish "key reversal" down on the daily bar chart. That's one chart clue the bulls are out of gas and that a near-term market top is in place. The bulls so still have the overall near-term technical advantage. Prices are in a two-month-old uptrend on the daily bar chart. Bulls' next upside price objective is to produce a close above solid resistance at today's record high of $2,152.30. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $2,000.00. First resistance is seen at $2,075.00 and then at last week's high of $2,095.70. First support is seen at $2,030.00 and then at $2,015.00. Wyckoff's Market Rating: 7.5.
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March silver futures prices scored a big and bearish "outside day" down on the daily bar chart today. The bulls appear to have run out of gas. The silver bulls do still have the overall near-term technical advantage. Prices are in a two-month-old uptrend on the daily bar chart. Silver bulls' next upside price objective is closing prices above solid technical resistance at today's high of $26.34. The next downside price objective for the bears is closing prices below solid support at $23.50. First resistance is seen at $25.50 and then at $25.775. Next support is seen at $24.50 and then at $24.25. Wyckoff's Market Rating: 6.5. Read More
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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.
