Today's Gold and Silver News - November 5th

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Gold price holding on to solid gains as U.S. jobless claims fall to new pandemic low

The gold market is seeing a modest push higher, unfazed by steady positive momentum in U.S. labor market.

Thursday the U.S. Labor Department said that weekly jobless claims fell to a new pandemic low, dropping by 14,000 to 269,000. The previous week's estimate was revised up to 283,000 claims. Read More

Gold, silver see strong rebounds from Wednesday's sell-off

Gold and silver prices on Thursday recovered all of Wednesday"s sharp losses. It appears metals traders were preparing for a hawkish FOMC statement and tone from Fed Chairman Jerome Powell Wednesday afternoon, but then after the fact reckoned the Fed may not be leaning as hawkish on U.S. monetary policy as many expected. Also, it appears to be a classic case of “sell the rumor, buy the fact” from the shorter-term futures traders, regarding the Fed monetary policy tightening. December gold was last up $29.40 at $1,793.30 and December Comex silver was last up $0.699 at $23.935 an ounce. Read More

Gold price is stuck in a Groundhog Day loop - MKS PAMP GROUP

 The gold market is stuck in a Groundhog Day time loop, with prices trading in a narrow range between $1,750-$1,800 an ounce, according to MKS PAMP GROUP.

There is no driver strong enough to push gold below $1,750 an ounce or above $1,800 an ounce, said MKS PAMP GROUP head of metals strategy Nicky Shiels.

"There's certainly an apprehension to sell gold post the Powell presser for fear of $1750-$1760 being a bear trap. There are early signs of a growing consensus that gold is closer to the bottom in the short-term (while there's perhaps another push through today's low, its unlikely $1750 breaks), but there was no dovish catalyst to get excited and warrant gold up $100 either – Groundhog Day again," noted Shiels. Read More

Gold prices can push through $1,800 as the Fed is in no hurry to raise interest rates

 The gold market is once again in striking distance of $1,800. New momentum could propel it higher as markets could readjust their expectations regarding potential interest rate hikes from the Federal Reserve.

George Milling-Stanley, chief gold strategist at State Street Global Advisors, said that since June, investors and markets have been too aggressive when it comes to price in potential interest rate hikes.

"Federal Reserve Chair Jerome Powell made it very clear Wednesday that there is absolutely no link between reducing the balance sheet and potential interest rate hikes," he said. Read More

Are we on course for a full-blown recession by 2023?

 The Federal Reserve announced it will be winding down its bond-buying program later this month. The process will involve a $15 billion monthly reduction from the current $120 billion a month the Fed is buying currently. "The bull market is going to crack eventually because the consecutive monthly tapering is going to hurt the markets the most," Alasdair Macleod, Head of Research at Goldmoney, emphasized.

Speaking in a panel along with John Lonski, President of Thru the Cycle, hosted by Michelle Makori, Lead Anchor and Editor-in-Chief of Kitco News, both Macleod and Lonski agreed that inflation is worse than the Fed admits, which will push us into a recession. Read More

Gold surges as Bank of England mimic the Fed, indicating both central banks are in no rush to raise rates

Gold prices surged in trading as the Bank of England joined the central bank of the United States, expressing that they were not in favor of raising interest rates at any time in the near future. During Chairman Jerome Powell's press conference yesterday, he made it clear that they're not even thinking about, thinking about raising rates anytime soon. In terms of traders' reaction to the chairman's statements indicating that they have no set timeline in which to initiate lift-off, I believe what we witnessed today in gold was a delayed reaction coupled with the confirmation that the Bank of England was on the same page. Read More

This is how you make money in DeFi - Michael So on the best investment opportunities

Banks and financial institutions are quickly adopting decentralized finance, or DeFi, to the point where most trading desks around the world are likely to use the technology to varying degrees, said Michael So, VP of business development of Cook Finance. Read More

Gold and silver trade higher ahead of the Europen open

Gold and silver have moved higher into the last trading day of the week. Gold is back in familiar territory just below $1800/oz and silver is trading at $23.89/oz. In the rest of the commodities complex, copper traded 0.09% higher while spot WTI fell -0.31%. The markets may be tentative ahead of today's NFP release. 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.