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Silver Price News: Silver Steady After Mid-Week Surge
Silver prices were broadly steady on Friday, as the market took a breather following a mid-week surge to an 11-month-high.
Prices drifted slightly lower to around $24.70 an ounce on Friday afternoon, down from around $24.77 an ounce in late trades on Thursday.
The calmer conditions on Friday followed a bout of mid-week volatility when silver prices surged as high as $25.75 an ounce – the highest price since May 2023 – only to give up the gains on Thursday.
The spike in silver prices was in line with gold prices, which powered up to an all-time high of $2,223 an ounce on Wednesday, with the precious metals markets in a bullish mood as traders anticipate three US interest rate cuts this year – June being the first potential target.
However, the US Fed is only likely to start a loosening of monetary policy when it has clear evidence that inflation is coming down towards targets, creating uncertainty over the timing of any cuts. Read More
Gold Price News: Gold Drifts Lower As US Dollar Strengthens
Gold prices drifted a few dollars lower on Friday to cap a volatile week in which prices hit fresh all-time highs, only to fall back to pare the gains.
Prices eased to around $2,160 an ounce by Friday afternoon, down from around $2,182 an ounce in late deals on Thursday, and marked a second straight day of losses.
The US dollar strengthened on Thursday and Friday, reaching a three-week high against the euro, putting downward pressure on dollar-denominated gold prices.
In general, a more cautious mood prevailed at the end of the week, following gold’s surge to a new all-time high of $2,223 an ounce on Wednesday. The probability and timing of potential interest rate cuts continues to be a major driver for the gold market, with economic data pushing prices in either direction as the markets mulled the chances of a first cut to US interest rates in June.
The Swiss National Bank’s unexpected decision this week to cut rates was a contributor to the US dollar’s strength, as it raised bets that other central banks could start to loosen monetary policy ahead of the US. Read More
'We're not making any more money' - why gold miners are stuck despite all-time metal highs
Gold prices are at all-time highs, but rising costs at the miners have tempered an equity upside, noted Neil Adshead, consultant analyst at Commodity Discovery Fund.
On Friday, Kitco Mining Correspondent Paul Harris recorded Digging Deep.
Harris noted that despite the gold prices hitting all-time highs in 2024, the gold miners have not rallied. Year-to-date the gold miners index, the VanEck Gold Miners ETF, is down 3% to $29.60 a share.
Adshead noted that the big, diversified miners have much larger market capitalizations. The gold miners are not keeping pace, because they just don't make the same margins as the large copper and iron ore miners. Read More
Gold price trading near session highs as U.S. new home sales fall 0.3% in February
The U.S. housing market continues to struggle to find its footing as elevated mortgage rate and higher prices take their toll on potential buyers.
The disappointing housing market data is supporting gold prices trade near session highs.
New home sales fell 0.3% last month to a seasonally adjusted annual sales rate of 662,000 homes, down from January’s revised rate of 664,000, the U.S. Census Bureau and the U.S. Department of Housing and Urban Development said on Monday.
The data was weaker than expected, as consensus forecasts looked for a sales rate of 675,000. Read More
England’s biggest gold nugget, worth up to £40K, found with faulty equipment
You don’t need to have the fanciest equipment to be a metal detectorist - all it takes is a little focus and a lot of luck - just ask Richard Brock from Somerset, England.
According to Auctioneers Mullock Jones, Brock found what is believed to be England’s largest gold nugget. The auction house is selling the 64.8g nugget, named the Hiro Nugget, for an asking price between £30,000 to £40,000.
The discovery was made in May 2023 when Brock showed up an hour late to a group dig in the Shropshire Hills near the Welsh border with faulty equipment. However, it only took a few minutes to make this unprecedented discovery.
In an interview with the BBC, Brock said that he arrived with three metal detectors, one of which died immediately, and another was “pretty much kaput,” with a faulty screen. Read More
XAU/EUR could outperform if ECB cuts first, silver coins and fund flows are beating gold - Heraeus
Gold’s new record highs post-FOMC could mean better price performance to come against the euro, while silver ETF holdings are holding up even better than gold, according to precious metals strategists at Heraeus.
“The market-assessed probability of the Fed cutting rates at last week’s meeting peaked at 76.9% in January,” they noted in the latest precious metals report. “Since then, hotter than expected inflation readings and stronger than anticipated sectoral growth in the US eliminated the chance of a cut. Last Wednesday, the Fed opted to keep rates where they were but maintained the outlook for 75 bp of interest rate cuts this year, suggesting the central bank is not concerned the US economy is running too hot.”
The analysts wrote that this “cautious, yet still dovish, tone and forecast for cuts” contributed to a weaker U.S. dollar following last week’s FOMC and pushed gold prices above $2,200 per ounce for the first time. Read More
It’s silver’s turn to shine as hedge funds turn their attention away from gold
Hedge funds are starting to take an interest in silver as it could be the next major momentum play in the precious metal market while gold prices find a balance.
Historic speculative bullish interest in gold has pushed prices to multiple record highs in the last three weeks; however, silver has lagged significantly. The gold/silver ratio remains fairly elevated, trading above 88 points.
Image Source: Kitco News
However, the latest trade data from the Commodity Futures Trading Commission (CFTC) shows that silver still has solid momentum as gold’s run starts to weaken. Read More
Gold gains on technical buying, friendly outside markets
Gold prices are posting decent gains in midday U.S. trading Monday, supported by chart-based buying amid bullish technicals, and by friendly daily “outside market” forces that see the U.S. dollar index lower and crude oil prices higher. Silver prices are trading slightly up. April gold was last up $16.80 at $2,176.70. May silver was last up $0.042 at $24.885.
Broker SP Angel this morning said in an email dispatch that China and other central banks continue to buy gold. “Recent interest rate moves by major central banks of Japan, Taiwan and Turkey along with the expectations for U.S. rate cuts are making gold increasingly attractive. Investors also remain concerned at the level of high government debt supported by the U.S. and China.”
Technically, April gold futures bulls have the solid overall near-term technical advantage. A five-week-old uptrend is in place on the daily bar chart. Bulls’ next upside price objective is to produce a close above solid resistance at the contract and record high of $2,225.30. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $2,149.20. First resistance is seen at the overnight high of $2,182.50 and then at Friday’s high of $2,188.00. First support is seen at today’s low of $2,164.40 and then at Friday’s low of $2.158.40. Wyckoff's Market Rating: 8.0.
Image Source: Kitco News
May silver futures bulls have the overall near-term technical advantage. Silver bulls' next upside price objective is closing prices above solid technical resistance at the March high of $25.975. The next downside price objective for the bears is closing prices below solid support at $23.50. First resistance is seen at Friday’s high of $25.11 and then at $25.50. Next support is seen at last week’s low of $24.58 and then at $24.22. Wyckoff's Market Rating: 6.5. Read More
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Gold market distortions create different problems in Poland, Thailand and Pakistan
White-hot gold prices are resulting in a range of disparities and distortions in local precious metals markets around the world, according to various recent reports.
In Central and Eastern Europe, the rising risk premium on savings since the Russian invasion of Ukraine has actually served to drive down investor interest in the ultimate flight-to-safety asset, with gold demand seeing a 42% year-over year decline.
“Mennica Skarbowa, the largest dealer of investment gold and other precious metals in Poland, closed in 2023 with revenues 42 percent lower than in 2022,” Polish news outlet WBJ reported. “This result is consistent with the decline in gold demand recorded in this part of Europe (down 42 percent y/y).”
The report said this resulted from banks in the region raising the average interest rate on deposits and “favorable savings products,” along with high rates of inflation.
“The high cost of living for Poles and Europeans meant a decrease in the number of free funds allocated for precious metal purchases,” they wrote, “and record-high gold prices encouraged primarily the resale of accumulated bars and coins.” Read More
Live From The Vault - Episode: 165
Warning ⚠️ Doom loop for gold and silver sellers!
In this week’s episode of Live from the Vault, Andrew Maguire discusses how the resurgence of physically-driven demand from central banks and manufacturers have laid the groundwork for silver’s recent breakout rally.
The London whistleblower investigates how the Federal Reserve is injecting volatility into gold and Bitcoin ETFs, before looking closer at the mystery behind the COMEX’s impending “First Notice Day”.
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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.
