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Gold & Silver Market Analysis – Wednesday 29th September
Kinesis Money Macroeconomic Analysis
This week, the pricing of gold and silver has been hit by a new rebound of the U.S. Dollar and the rise of the 10-year US treasury yield. Investors’ speculation is guiding this trend, with clear insight that current inflation won’t be “transitory”, as it was predicted by central banks these past few months.
It is worth mentioning that this scenario will likely force the Federal Reserve to begin tapering as soon as November. But, is all this negativity around gold and silver really justified? Probably not.
Looking ahead, medium and long-term demand for precious metals appear solid, particularly for silver. Moreover, even if the Fed does increase rates, we will remain in an environment of low – or even negative – real rates, due to inflation. This could be supportive of large-scale gold and silver demand. Read More
Gold price seeing some selling pressure following 8% rise in pending home sales
The gold market is struggling to remain in neutral territory, seeing some selling pressure following and stronger-than-expected U.S. home sales data.
The U.S. pending home sales index rose to a reading of 119.5 jumping 8.1% in August following July’s drop of 1.8% the National Association of Realtors (NAR) said Monday. The latest housing market data significantly beat expectations as consensus forecasts expected a 1.1% increase. Read More
Gold drops to 6-wk. low, silver 14-mo. low, as USDX surges
Gold prices are lower and hit a six-week low in midday U.S. trading Wednesday, as modest early gains were erased when the U.S. dollar index rallied to an 11-month high and the U.S. stock indexes recovered from Tuesday’s solid selling pressure, to somewhat reduce risk aversion in the marketplace. Silver prices were hammered to a 14-month low today. December gold futures were last down $12.70 at $1,724.80. December Comex silver was last down $0.947 at $21.515 an ounce. Read More
Dollar strength today is equal to gold weakness in terms of percentage gain and decline
A surging U.S. dollar continues to pressure gold resulting in a further price decline. Yesterday the dollar index closed at the highest level this year, and today the dollar rally continued and resulted in a new record high for the year. As of 4:30 PM EDT, the U.S. dollar index is up by+0.68% and gold futures are down by -0.68%. Read More
Robert Kiyosaki: ‘The biggest crash in world history’ hits this October
The whole market, including Bitcoin, gold, stocks, is about to face a serious crash in October, said Robert Kiyosaki, best-selling author of “Rich Dad Poor Dad”.
Speaking to Michelle Makori, editor-in-chief of Kitco News, Kiyosaki explained the factors in the economy that have been leading up to this upcoming crash, and highlighted the severity of the market downturn that’s to come.
“It’s going to be the biggest crash in world history. We have never had this much debt pumped up. Debt is the biggest problem of all…the debt to GDP ratio is out of sync. So when it comes down, and it’s going to bring everything down with it, that’s when I’m going to be buying more gold, silver, and Bitcoin,” Kiyosaki said. “The S&P 500 is really the S&P 7 and it’s being held up by Secretary of the Treasury Yellen and [Fed Chair] Powell. There’s no correlation between the economy and what Yellen and Powell are doing.” Read More
Why is gold down $90 this September? Analysts eye price risks below $1,700 an ounce
Gold is looking to wrap September down nearly $90, and analysts are warning of a possible washout if gold tumbles below $1,700 an ounce.
The two-punch combination of surging U.S. Treasury yields and a higher U.S. dollar is pressuring gold down amid inflationary fears and risk-off sentiment in the marketplace, according to analysts.
At the time of writing, December Comex gold futures were trading at $1,725, down 0.72% on the day, while the U.S. dollar index was at 94.36, up 0.64% on the day, and the U.S. 10-year Treasury yield was fetching 1.541%.
"The yields and the dollar are the major part of it. There is an inverse correlation between higher yields and metals. When yields are popping, metals are down, and the USD is up," RJO Futures senior commodities broker Daniel Pavilonis told Kitco News. Read More
Gold and silver both head into the European open higher after a tough Wednesday
Gold and silver are heading into the European open higher this morning. Gold had a tough session yesterday and now trades at $1728/oz and silver also broke an important daily support as greenback strength kicked in. In the rest of the commodities complex, both copper (0.17%) and spot WTI (0.27%) trade higher. 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 other advice
