Category: Gold and Silver News

Gold poised for a weekly and monthly gain early Friday supported by U.S. rate-cut bets and geopolitical uncertainty, as a key U.S. inflation measure comes in as expected.

The Fed’s favorite inflation measure, personal consumption expenditures price index, rose 0.2% for July, inline with expectations. This is up 2.6% from a year ago which is slightly softer than the 2.7% estimate. All-item inflation came in respectively at 0.2% and 2.5%, in line with forecasts. Personal income increased 0.3%, slightly higher than the 0.2% estimate, while consumer spending rose 0.5%, in line with the forecast. Gold slipped a touch, with DG spot gold off $8 an ounce, while the dollar rose on the news.

Prices rallied Thursday after Commerce Department data showed the U.S. economy grew at a revised 3% annual pace in the second quarter, up from a previous 2.8%. It was faster than the first quarter’s 1.4% growth rate. Consumer spending also rose at a 2.9% annual rate last quarter, up from the government’s 2.3% initial estimate. 

Front-month gold futures rose 0.9% Thursday to settle at $2,560.30 an ounce on Comex, and the most-active December contract gained 0.6% in the first four days of the week. Bullion is up 3.5% in August after increasing 5.7% in July, its biggest monthly gain since March. Gold fell 0.3% in June. The metal rose 13% in 2023. The December contract is currently down $9.70 (-0.38%) an ounce to $2550.60 and the DG spot price is $2519.50.

Next week will bring the closely watched U.S. monthly employment report for August. The Fed closely looks at both labor market and inflation data when crafting monetary policy. U.S. weekly initial jobless claims fell by 2,000 last week to 231,000 in Labor Department data released Thursday.

The central bank is overwhelmingly expected to begin interest rate cuts next month amid positive inflation data and signs that the labor market is weakening. Rate cuts are considered bullish for gold because they make it a more attractive investment than some other assets. Gold also hovered near record highs amid geopolitical risks, particularly related to the conflict in the Middle East. 

Investors tracked by the CME FedWatch Tool unanimously expect the Fed to begin interest rate cuts at the central bank’s next policy meeting in September. About 69.5% expect a 25 basis point cut, while the rest anticipate a 50 basis point cut. The Fed has kept interest rates at 5.25% to 5.50% for a year after raising them by 5.25 percentage points since March 2022 to rein in inflation. 

Front-month silver futures increased 1.2% Thursday to $29.99 an ounce on Comex, though the December contract fell 0.9% in the first four days of the week. Silver is up 3.6% this month after dropping 2.1% in July and falling 2.9% in June. It ticked up 0.2% in 2023. The December contract is currently down $0.294 (-0.98%) an ounce to $29.695 and the DG spot price is $29.40.

Spot palladium gained 4% Thursday to $994.50 an ounce and is up 3% so far this week. Palladium is up 4.9% this month after decreasing 4.3% in July and gaining 8.1% in June. Palladium plummeted 38% last year. The DG spot price is currently down $1.10 an ounce to $993.00.

Spot platinum rose 1.2% Thursday to $950.10 an ounce but decreased 1.8% in the first four days of the week. Platinum is down 3.3% in August after losing 2.1% in July and falling 3.7% in June. Platinum dropped 6.8% in 2023. The current DG spot price is down $5.30 an ounce to $942.90.

Disclaimer: This editorial has been prepared by Dillon Gage Metals for information and thought-provoking purposes only and does not purport to predict or forecast actual results. This editorial opinion is not to be construed as investment advice or a recommendation regarding any particular security, commodity, or course of action. Opinions expressed herein cannot be attributable to Dillon Gage. Reasonable people may disagree about the events discussed or opinions expressed herein. In the event any of the assumptions used herein do not come to fruition, results are likely to vary substantially. It is not a solicitation or advice to make any exchange in commodities, securities, or other financial instruments. No part of this editorial may be reproduced in any manner, in whole or in part, without the prior written permission of Dillon Gage Metals. Dillon Gage Metals shall not have any liability for any damages of any kind whatsoever relating to this editorial. You should consult your advisers with respect to these areas. By posting this editorial, you acknowledge, understand, and accept this disclaimer.

Gold poised for a weekly and monthly gain early Friday supported by U.S. rate-cut bets and geopolitical uncertainty, as a key U.S. inflation measure comes in as expected.

The Fed’s favorite inflation measure, personal consumption expenditures price index, rose 0.2% for July, inline with expectations. This is up 2.6% from a year ago which is slightly softer than the 2.7% estimate. All-item inflation came in respectively at 0.2% and 2.5%, in line with forecasts. Personal income increased 0.3%, slightly higher than the 0.2% estimate, while consumer spending rose 0.5%, in line with the forecast. Gold slipped a touch, with DG spot gold off $8 an ounce, while the dollar rose on the news.

Prices rallied Thursday after Commerce Department data showed the U.S. economy grew at a revised 3% annual pace in the second quarter, up from a previous 2.8%. It was faster than the first quarter’s 1.4% growth rate. Consumer spending also rose at a 2.9% annual rate last quarter, up from the government’s 2.3% initial estimate. 

Front-month gold futures rose 0.9% Thursday to settle at $2,560.30 an ounce on Comex, and the most-active December contract gained 0.6% in the first four days of the week. Bullion is up 3.5% in August after increasing 5.7% in July, its biggest monthly gain since March. Gold fell 0.3% in June. The metal rose 13% in 2023. The December contract is currently down $9.70 (-0.38%) an ounce to $2550.60 and the DG spot price is $2519.50.

Next week will bring the closely watched U.S. monthly employment report for August. The Fed closely looks at both labor market and inflation data when crafting monetary policy. U.S. weekly initial jobless claims fell by 2,000 last week to 231,000 in Labor Department data released Thursday.

The central bank is overwhelmingly expected to begin interest rate cuts next month amid positive inflation data and signs that the labor market is weakening. Rate cuts are considered bullish for gold because they make it a more attractive investment than some other assets. Gold also hovered near record highs amid geopolitical risks, particularly related to the conflict in the Middle East. 

Investors tracked by the CME FedWatch Tool unanimously expect the Fed to begin interest rate cuts at the central bank’s next policy meeting in September. About 69.5% expect a 25 basis point cut, while the rest anticipate a 50 basis point cut. The Fed has kept interest rates at 5.25% to 5.50% for a year after raising them by 5.25 percentage points since March 2022 to rein in inflation. 

Front-month silver futures increased 1.2% Thursday to $29.99 an ounce on Comex, though the December contract fell 0.9% in the first four days of the week. Silver is up 3.6% this month after dropping 2.1% in July and falling 2.9% in June. It ticked up 0.2% in 2023. The December contract is currently down $0.294 (-0.98%) an ounce to $29.695 and the DG spot price is $29.40.

Spot palladium gained 4% Thursday to $994.50 an ounce and is up 3% so far this week. Palladium is up 4.9% this month after decreasing 4.3% in July and gaining 8.1% in June. Palladium plummeted 38% last year. The DG spot price is currently down $1.10 an ounce to $993.00.

Spot platinum rose 1.2% Thursday to $950.10 an ounce but decreased 1.8% in the first four days of the week. Platinum is down 3.3% in August after losing 2.1% in July and falling 3.7% in June. Platinum dropped 6.8% in 2023. The current DG spot price is down $5.30 an ounce to $942.90.

Disclaimer: This editorial has been prepared by Dillon Gage Metals for information and thought-provoking purposes only and does not purport to predict or forecast actual results. This editorial opinion is not to be construed as investment advice or a recommendation regarding any particular security, commodity, or course of action. Opinions expressed herein cannot be attributable to Dillon Gage. Reasonable people may disagree about the events discussed or opinions expressed herein. In the event any of the assumptions used herein do not come to fruition, results are likely to vary substantially. It is not a solicitation or advice to make any exchange in commodities, securities, or other financial instruments. No part of this editorial may be reproduced in any manner, in whole or in part, without the prior written permission of Dillon Gage Metals. Dillon Gage Metals shall not have any liability for any damages of any kind whatsoever relating to this editorial. You should consult your advisers with respect to these areas. By posting this editorial, you acknowledge, understand, and accept this disclaimer.

China’s central bank issued quotas for gold imports after a two-month pause. The short hiatus came after over a year of unprecedented gold buying. The People’s Bank of China (PBOC) has provided several major banks with new guidelines to promote gold buying. Despite record-high prices, this decisive policy signals the government’s intention to beef up its reserves.

The Numbers

• Gold prices have grown by 21% in 2024, extending beyond a record of $2,500.
• The PBOC was the largest gold buyer in 2023, scooping up 7.23 million ounces.
• China topped up its gold reserves for 18 months before the short pause.
• China holds 2,264 tons of gold with the 6th largest reserves in the world.
• Global central bank gold buying shattered records in H1 2024.

Why Investors Should Care

China might have the 6th largest gold reserves in the world, but the country has been the single largest consumer of the yellow metal for years. The PBOC’s buying habits have a large influence on gold prices. With newly implemented quotas, China is expected to restore its gold binge which could drive gold prices even higher. Investors considering a move into precious metals might want to lock in purchases at current levels before gold prices continue upward.

What’s Behind the News?

China led the charge in central bank gold buying throughout 2022 and 2023, so investors were curious about the government’s recent pause in demand. The announcement of gold quotas reaffirms the crucial role gold plays in the country’s economic and geopolitical strategy. As a leader in the de-dollarization movement, China intends to shore up its domestic currency and market stability while minimizing its reliance on the US dollar. The weaponization of the dollar through tough sanctions further spurs China’s increased reliance on gold.

Future Outlook

The World Gold Council (WGC) expects continued demand for gold “bar and coin sales in China” due to “gold’s strong performance so far in 2024, local asset uncertainty and risks associated with the economic outlook.”

More broadly, the WGC assumes “central banks will remain significant net purchasers throughout 2024.”

Scottsdale Bullion & Coin’s Sr. Advisor Steve Rand points to the unrivaled surge in central bank gold demand. “Demand for physical gold and silver is off the charts. I’ve never seen anything like it in 20 years of doing this.”

Steve Rand further explains, “Gold has a tremendous amount of upward potential [and] huge fundamentals behind it.”

Many experts are increasing their gold price predictions, expecting China’s quotes to drive up PBOC demand.

China’s central bank issued quotas for gold imports after a two-month pause. The short hiatus came after over a year of unprecedented gold buying. The People’s Bank of China (PBOC) has provided several major banks with new guidelines to promote gold buying. Despite record-high prices, this decisive policy signals the government’s intention to beef up its reserves.

The Numbers

• Gold prices have grown by 21% in 2024, extending beyond a record of $2,500.
• The PBOC was the largest gold buyer in 2023, scooping up 7.23 million ounces.
• China topped up its gold reserves for 18 months before the short pause.
• China holds 2,264 tons of gold with the 6th largest reserves in the world.
• Global central bank gold buying shattered records in H1 2024.

Why Investors Should Care

China might have the 6th largest gold reserves in the world, but the country has been the single largest consumer of the yellow metal for years. The PBOC’s buying habits have a large influence on gold prices. With newly implemented quotas, China is expected to restore its gold binge which could drive gold prices even higher. Investors considering a move into precious metals might want to lock in purchases at current levels before gold prices continue upward.

What’s Behind the News?

China led the charge in central bank gold buying throughout 2022 and 2023, so investors were curious about the government’s recent pause in demand. The announcement of gold quotas reaffirms the crucial role gold plays in the country’s economic and geopolitical strategy. As a leader in the de-dollarization movement, China intends to shore up its domestic currency and market stability while minimizing its reliance on the US dollar. The weaponization of the dollar through tough sanctions further spurs China’s increased reliance on gold.

Future Outlook

The World Gold Council (WGC) expects continued demand for gold “bar and coin sales in China” due to “gold’s strong performance so far in 2024, local asset uncertainty and risks associated with the economic outlook.”

More broadly, the WGC assumes “central banks will remain significant net purchasers throughout 2024.”

Scottsdale Bullion & Coin’s Sr. Advisor Steve Rand points to the unrivaled surge in central bank gold demand. “Demand for physical gold and silver is off the charts. I’ve never seen anything like it in 20 years of doing this.”

Steve Rand further explains, “Gold has a tremendous amount of upward potential [and] huge fundamentals behind it.”

Many experts are increasing their gold price predictions, expecting China’s quotes to drive up PBOC demand.

Larry Fink, CEO OF BlackRock, recently warned the rising national debt would become a “big burden on the backs” of future generations if not addressed immediately. The leader of the world’s wealthiest investment firms underscored the need for economic growth and fiscal responsibility to climb out of the deepening debt spiral. His concerns expanded to the global debt crisis, too.

The Numbers

• US national debt is over $35 trillion and grows by $1 trillion every 100 days.
• The 2024 deficit is $400 billion larger than previous Congressional Budget Office estimates.
• Cumulative deficits between 2025 and 2034 are expected to be 10% larger ($2.1 trillion) than anticipated.
• The public debt-to-GDP ratio is forecasted to jump from 99% to 122% by 2034, surpassing record highs.

Why Investors Should Care

The ballooning national debt isn’t only a concern for federal policymakers; it has a direct impact on everyday investors. High debt levels can lead to economic instability, higher inflation, spiked interest rates, and currency devaluation, all of which erode the value of traditional investments. Savvy investors are recognizing a marketwide transition from conventional assets such as stocks, bonds, and treasuries to safe-haven assets. Precious metals such as gold and silver tend to increase in value during bouts of economic uncertainty. That’s why central banks and retail investors are scooping up physical gold in record numbers.

Market Impact

Fink’s comments focus on the incoming blow to future generations, but the national debt is already having disastrous economic consequences. The annual inflation rate is 2.9% – nearly 50% higher than the Federal Reserve’s target. General prices have soared over 20% since 2020. The personal debt bubble is exploding alongside the debt crisis, threatening the personal finances of millions of Americans. In response, gold prices have shattered multiple records over the past few months as investors seek protection from the economic fallout.

Expert Insights

In a recent interview, the BlackRock CEO warns that “these deficits are going to become a big burden…on the backs of our children and…grandchildren.”

Fink further highlights the rapidly rising costs of the debt, saying “The public deficits are just growing too fast as a percentage of GDP.”

His comments line up with similar warnings from fellow billionaire investors. Jamie Dimon, J.P. Morgan’s head, sees debt as the “most predictable” crisis in US history.

Elon Musk predicted that America would go bankrupt if it continues down this unsustainable path.

Even the Fed Chair Jerome Powell admitted it was “past time” to have an “adult conversation” about the US debt bubble.

What’s Behind the News?

The backdrop to these warnings is a costly combination of record-setting pandemic-era spending, a lack of political leadership to address the debt issue, and growing economic unease. People are rapidly losing faith in the government’s ability to rein in debt, preferring to place their wealth in safe-haven assets instead of the vulnerable market.

Future Outlook

US debt is a runaway train with no brakes and a disinterested conductor. The crash will likely land squarely at the feet of everyday Americans in future generations. US debt is expected to top $56 trillion in the next decade. At the same time, the debt-to-GDP ratio is forecasted to surge, making it harder to pay off the national debt. Many experts are raising their gold price predictions even following a massive rally as the debt issue continues to drive demand.

Larry Fink, CEO OF BlackRock, recently warned the rising national debt would become a “big burden on the backs” of future generations if not addressed immediately. The leader of the world’s wealthiest investment firms underscored the need for economic growth and fiscal responsibility to climb out of the deepening debt spiral. His concerns expanded to the global debt crisis, too.

The Numbers

• US national debt is over $35 trillion and grows by $1 trillion every 100 days.
• The 2024 deficit is $400 billion larger than previous Congressional Budget Office estimates.
• Cumulative deficits between 2025 and 2034 are expected to be 10% larger ($2.1 trillion) than anticipated.
• The public debt-to-GDP ratio is forecasted to jump from 99% to 122% by 2034, surpassing record highs.

Why Investors Should Care

The ballooning national debt isn’t only a concern for federal policymakers; it has a direct impact on everyday investors. High debt levels can lead to economic instability, higher inflation, spiked interest rates, and currency devaluation, all of which erode the value of traditional investments. Savvy investors are recognizing a marketwide transition from conventional assets such as stocks, bonds, and treasuries to safe-haven assets. Precious metals such as gold and silver tend to increase in value during bouts of economic uncertainty. That’s why central banks and retail investors are scooping up physical gold in record numbers.

Market Impact

Fink’s comments focus on the incoming blow to future generations, but the national debt is already having disastrous economic consequences. The annual inflation rate is 2.9% – nearly 50% higher than the Federal Reserve’s target. General prices have soared over 20% since 2020. The personal debt bubble is exploding alongside the debt crisis, threatening the personal finances of millions of Americans. In response, gold prices have shattered multiple records over the past few months as investors seek protection from the economic fallout.

Expert Insights

In a recent interview, the BlackRock CEO warns that “these deficits are going to become a big burden…on the backs of our children and…grandchildren.”

Fink further highlights the rapidly rising costs of the debt, saying “The public deficits are just growing too fast as a percentage of GDP.”

His comments line up with similar warnings from fellow billionaire investors. Jamie Dimon, J.P. Morgan’s head, sees debt as the “most predictable” crisis in US history.

Elon Musk predicted that America would go bankrupt if it continues down this unsustainable path.

Even the Fed Chair Jerome Powell admitted it was “past time” to have an “adult conversation” about the US debt bubble.

What’s Behind the News?

The backdrop to these warnings is a costly combination of record-setting pandemic-era spending, a lack of political leadership to address the debt issue, and growing economic unease. People are rapidly losing faith in the government’s ability to rein in debt, preferring to place their wealth in safe-haven assets instead of the vulnerable market.

Future Outlook

US debt is a runaway train with no brakes and a disinterested conductor. The crash will likely land squarely at the feet of everyday Americans in future generations. US debt is expected to top $56 trillion in the next decade. At the same time, the debt-to-GDP ratio is forecasted to surge, making it harder to pay off the national debt. Many experts are raising their gold price predictions even following a massive rally as the debt issue continues to drive demand.

Gold little changed Wednesday morning ahead of Friday’s economic reports. The yellow metal was steady above $2,500 an ounce but did lose a little ground on a stronger dollar.

The central bank is overwhelmingly expected to begin interest rate cuts next month amid positive inflation data and signs that the labor market is weakening. Fed Chairman Jerome Powell seemed to confirm the central bank’s plans in remarks last week in Jackson Hole, Wyoming. Rate cuts are considered bullish for gold because they make it a more attractive investment than some other assets.

Consumer confidence beat expectations and rose to a six-month high in August amid more positive sentiment on the economy and inflation, data published by the Conference Board showed Tuesday. Gold also hovered near record highs amid geopolitical risks, particularly related to the conflict in the Middle East. 

Front-month gold futures slipped $2.30 Tuesday to settle at $2,552.90 an ounce on Comex, though the most-active December contract gained 0.3% in the first two days of the week. Bullion is up 3.2% in August after increasing 5.7% in July, its biggest monthly gain since March. Gold fell 0.3% in June. The metal rose 13% in 2023. The December contract is currently down $14.00 (-0.55%) an ounce to $2538.90 and the DG spot price is $2507.20.

The central bank’s favorite inflation measure, the personal consumption expenditures price index, comes out Friday with July data. GDP data and weekly initial jobless claims come out on Thursday, and next week will bring the closely watched U.S. monthly employment report for August. The Fed closely looks at both labor market and inflation data when crafting monetary policy.

Investors tracked by the CME FedWatch Tool unanimously expect the Fed to begin interest rate cuts at the central bank’s next policy meeting in September. About 65.5% expect a 25 basis point cut, while the rest anticipate a 50 basis point cut. The Fed has kept interest rates at 5.25% to 5.50% for a year after raising them by 5.25 percentage points since March 2022 to rein in inflation. 

Front-month silver futures slipped 2 cents Tuesday to $30.43 an ounce on Comex, though the December contract rallied 0.6% in the first two days of the week. Silver is up 5.2% this month after dropping 2.1% in July and falling 2.9% in June. It ticked up 0.2% in 2023. The December contract is currently down $0.616 (-2.02%) an ounce to $29.810 and the DG spot price is $29.43.

Spot palladium gained 0.3% Tuesday to $980.50 an ounce and is up 1.5% so far this week. Palladium is up 3.4% this month after decreasing 4.3% in July and gaining 8.1% in June. Palladium plummeted 38% last year.Currently, the DG spot price is down $16.40 an ounce to $965.50.

Spot platinum fell 0.8% Tuesday to $964.70 an ounce and decreased 0.3% in the first two days of the week. Platinum is down 1.8% in August after losing 2.1% in July and falling 3.7% in June. Platinum dropped 6.8% in 2023. The DG spot price is currently down $20.40 an ounce to $943.40.

Disclaimer: This editorial has been prepared by Dillon Gage Metals for information and thought-provoking purposes only and does not purport to predict or forecast actual results. This editorial opinion is not to be construed as investment advice or a recommendation regarding any particular security, commodity, or course of action. Opinions expressed herein cannot be attributable to Dillon Gage. Reasonable people may disagree about the events discussed or opinions expressed herein. In the event any of the assumptions used herein do not come to fruition, results are likely to vary substantially. It is not a solicitation or advice to make any exchange in commodities, securities, or other financial instruments. No part of this editorial may be reproduced in any manner, in whole or in part, without the prior written permission of Dillon Gage Metals. Dillon Gage Metals shall not have any liability for any damages of any kind whatsoever relating to this editorial. You should consult your advisers with respect to these areas. By posting this editorial, you acknowledge, understand, and accept this disclaimer.

Gold little changed Wednesday morning ahead of Friday’s economic reports. The yellow metal was steady above $2,500 an ounce but did lose a little ground on a stronger dollar.

The central bank is overwhelmingly expected to begin interest rate cuts next month amid positive inflation data and signs that the labor market is weakening. Fed Chairman Jerome Powell seemed to confirm the central bank’s plans in remarks last week in Jackson Hole, Wyoming. Rate cuts are considered bullish for gold because they make it a more attractive investment than some other assets.

Consumer confidence beat expectations and rose to a six-month high in August amid more positive sentiment on the economy and inflation, data published by the Conference Board showed Tuesday. Gold also hovered near record highs amid geopolitical risks, particularly related to the conflict in the Middle East. 

Front-month gold futures slipped $2.30 Tuesday to settle at $2,552.90 an ounce on Comex, though the most-active December contract gained 0.3% in the first two days of the week. Bullion is up 3.2% in August after increasing 5.7% in July, its biggest monthly gain since March. Gold fell 0.3% in June. The metal rose 13% in 2023. The December contract is currently down $14.00 (-0.55%) an ounce to $2538.90 and the DG spot price is $2507.20.

The central bank’s favorite inflation measure, the personal consumption expenditures price index, comes out Friday with July data. GDP data and weekly initial jobless claims come out on Thursday, and next week will bring the closely watched U.S. monthly employment report for August. The Fed closely looks at both labor market and inflation data when crafting monetary policy.

Investors tracked by the CME FedWatch Tool unanimously expect the Fed to begin interest rate cuts at the central bank’s next policy meeting in September. About 65.5% expect a 25 basis point cut, while the rest anticipate a 50 basis point cut. The Fed has kept interest rates at 5.25% to 5.50% for a year after raising them by 5.25 percentage points since March 2022 to rein in inflation. 

Front-month silver futures slipped 2 cents Tuesday to $30.43 an ounce on Comex, though the December contract rallied 0.6% in the first two days of the week. Silver is up 5.2% this month after dropping 2.1% in July and falling 2.9% in June. It ticked up 0.2% in 2023. The December contract is currently down $0.616 (-2.02%) an ounce to $29.810 and the DG spot price is $29.43.

Spot palladium gained 0.3% Tuesday to $980.50 an ounce and is up 1.5% so far this week. Palladium is up 3.4% this month after decreasing 4.3% in July and gaining 8.1% in June. Palladium plummeted 38% last year.Currently, the DG spot price is down $16.40 an ounce to $965.50.

Spot platinum fell 0.8% Tuesday to $964.70 an ounce and decreased 0.3% in the first two days of the week. Platinum is down 1.8% in August after losing 2.1% in July and falling 3.7% in June. Platinum dropped 6.8% in 2023. The DG spot price is currently down $20.40 an ounce to $943.40.

Disclaimer: This editorial has been prepared by Dillon Gage Metals for information and thought-provoking purposes only and does not purport to predict or forecast actual results. This editorial opinion is not to be construed as investment advice or a recommendation regarding any particular security, commodity, or course of action. Opinions expressed herein cannot be attributable to Dillon Gage. Reasonable people may disagree about the events discussed or opinions expressed herein. In the event any of the assumptions used herein do not come to fruition, results are likely to vary substantially. It is not a solicitation or advice to make any exchange in commodities, securities, or other financial instruments. No part of this editorial may be reproduced in any manner, in whole or in part, without the prior written permission of Dillon Gage Metals. Dillon Gage Metals shall not have any liability for any damages of any kind whatsoever relating to this editorial. You should consult your advisers with respect to these areas. By posting this editorial, you acknowledge, understand, and accept this disclaimer.

Gold steady and little changed near record levels early Monday after surging in the previous session on Fed rate cut anticipation, after Fed Chairman Jerome Powell seemed to confirm the central bank’s plans to begin interest rate cuts next month.

Powell, speaking at the central bank’s annual conference in Jackson Hole, Wyoming, on Friday, said “the time has come” for a rate cut as inflation nears the Fed’s 2% target. Rate cuts are considered bullish for gold because they make it a more attractive investment than some other assets.

Front-month gold futures rose 0.3% last week to settle at $2,546.30 an ounce on Comex after the most-active December contract gained 1.2% Friday. Bullion is up 3% in August after increasing 5.7% in July, its biggest monthly gain since March. Gold fell 0.3% in June. The metal rose 13% in 2023. The December contract is currently up $13.90 (+0.55%) an ounce to $2560.20 and the DG spot price is $2526.40.

“The time has come for policy to adjust,” Powell said Friday. “The direction of travel is clear, and the timing and pace of rate cuts will depend on incoming data, the evolving outlook and the balance of risks.” 

The central bank’s favorite inflation measure, the personal consumption expenditures price index, comes out Friday with July data. Next week will bring the closely watched U.S. monthly employment report for August. The Fed closely tracks both labor market and inflation data when crafting monetary policy.

Additional economic data due this week include durable goods orders for July on Monday, consumer confidence figures for August on Tuesday and GDP data and weekly initial jobless claims on Thursday 

Powell didn’t signal how big a rate cut next month might be. Investors tracked by the CME FedWatch Tool unanimously expect the Fed to begin interest rate cuts at the central bank’s next policy meeting in September. About 65.5% expect a 25 basis point cut, while the rest anticipate a 50 basis point cut. 

The Fed has kept interest rates at 5.25% to 5.50% for a year after raising them by 5.25 percentage points since March 2022 to rein in inflation. 

Separately, an escalation in the conflict in the Middle East over the weekend reinforced gold’s attractiveness as a haven asset against uncertainty. Israel announced what it called preemptive strikes against Hezbollah in southern Lebanon early Sunday, while Hezbollah subsequently fired barrages of rockets and drones at northern Israel. 

Front-month silver futures increased 3.4% last week to settle at $30.26 an ounce on Comex after the December contract rallied 2.7% Friday. Silver is up 4.6% this month after dropping 2.1% in July and falling 2.9% in June. It ticked up 0.2% in 2023. The December contract is currently up $0.234 (+0.77%) an ounce to $30.490 and the DG spot price is $30.03.

Spot palladium gained 0.8% last week to $966.00 an ounce after surging 2.4% Friday. Palladium is up 1.9% this month after decreasing 4.3% in July and gaining 8.1% in June. Palladium plummeted 38% last year. The
DG spot price is currently up $19.50 an ounce to $984.00.

Spot platinum rose 0.7% last week to $967.10 an ounce after increasing 1.5% Friday. Platinum is down 1.6% in August after losing 2.1% in July and falling 3.7% in June. Platinum dropped 6.8% in 2023. Currently, the DG spot price is up $16.10 to $982.20.

Disclaimer: This editorial has been prepared by Dillon Gage Metals for information and thought-provoking purposes only and does not purport to predict or forecast actual results. This editorial opinion is not to be construed as investment advice or a recommendation regarding any particular security, commodity, or course of action. Opinions expressed herein cannot be attributable to Dillon Gage. Reasonable people may disagree about the events discussed or opinions expressed herein. In the event any of the assumptions used herein do not come to fruition, results are likely to vary substantially. It is not a solicitation or advice to make any exchange in commodities, securities, or other financial instruments. No part of this editorial may be reproduced in any manner, in whole or in part, without the prior written permission of Dillon Gage Metals. Dillon Gage Metals shall not have any liability for any damages of any kind whatsoever relating to this editorial. You should consult your advisers with respect to these areas. By posting this editorial, you acknowledge, understand, and accept this disclaimer.

Gold steady and little changed near record levels early Monday after surging in the previous session on Fed rate cut anticipation, after Fed Chairman Jerome Powell seemed to confirm the central bank’s plans to begin interest rate cuts next month.

Powell, speaking at the central bank’s annual conference in Jackson Hole, Wyoming, on Friday, said “the time has come” for a rate cut as inflation nears the Fed’s 2% target. Rate cuts are considered bullish for gold because they make it a more attractive investment than some other assets.

Front-month gold futures rose 0.3% last week to settle at $2,546.30 an ounce on Comex after the most-active December contract gained 1.2% Friday. Bullion is up 3% in August after increasing 5.7% in July, its biggest monthly gain since March. Gold fell 0.3% in June. The metal rose 13% in 2023. The December contract is currently up $13.90 (+0.55%) an ounce to $2560.20 and the DG spot price is $2526.40.

“The time has come for policy to adjust,” Powell said Friday. “The direction of travel is clear, and the timing and pace of rate cuts will depend on incoming data, the evolving outlook and the balance of risks.” 

The central bank’s favorite inflation measure, the personal consumption expenditures price index, comes out Friday with July data. Next week will bring the closely watched U.S. monthly employment report for August. The Fed closely tracks both labor market and inflation data when crafting monetary policy.

Additional economic data due this week include durable goods orders for July on Monday, consumer confidence figures for August on Tuesday and GDP data and weekly initial jobless claims on Thursday 

Powell didn’t signal how big a rate cut next month might be. Investors tracked by the CME FedWatch Tool unanimously expect the Fed to begin interest rate cuts at the central bank’s next policy meeting in September. About 65.5% expect a 25 basis point cut, while the rest anticipate a 50 basis point cut. 

The Fed has kept interest rates at 5.25% to 5.50% for a year after raising them by 5.25 percentage points since March 2022 to rein in inflation. 

Separately, an escalation in the conflict in the Middle East over the weekend reinforced gold’s attractiveness as a haven asset against uncertainty. Israel announced what it called preemptive strikes against Hezbollah in southern Lebanon early Sunday, while Hezbollah subsequently fired barrages of rockets and drones at northern Israel. 

Front-month silver futures increased 3.4% last week to settle at $30.26 an ounce on Comex after the December contract rallied 2.7% Friday. Silver is up 4.6% this month after dropping 2.1% in July and falling 2.9% in June. It ticked up 0.2% in 2023. The December contract is currently up $0.234 (+0.77%) an ounce to $30.490 and the DG spot price is $30.03.

Spot palladium gained 0.8% last week to $966.00 an ounce after surging 2.4% Friday. Palladium is up 1.9% this month after decreasing 4.3% in July and gaining 8.1% in June. Palladium plummeted 38% last year. The
DG spot price is currently up $19.50 an ounce to $984.00.

Spot platinum rose 0.7% last week to $967.10 an ounce after increasing 1.5% Friday. Platinum is down 1.6% in August after losing 2.1% in July and falling 3.7% in June. Platinum dropped 6.8% in 2023. Currently, the DG spot price is up $16.10 to $982.20.

Disclaimer: This editorial has been prepared by Dillon Gage Metals for information and thought-provoking purposes only and does not purport to predict or forecast actual results. This editorial opinion is not to be construed as investment advice or a recommendation regarding any particular security, commodity, or course of action. Opinions expressed herein cannot be attributable to Dillon Gage. Reasonable people may disagree about the events discussed or opinions expressed herein. In the event any of the assumptions used herein do not come to fruition, results are likely to vary substantially. It is not a solicitation or advice to make any exchange in commodities, securities, or other financial instruments. No part of this editorial may be reproduced in any manner, in whole or in part, without the prior written permission of Dillon Gage Metals. Dillon Gage Metals shall not have any liability for any damages of any kind whatsoever relating to this editorial. You should consult your advisers with respect to these areas. By posting this editorial, you acknowledge, understand, and accept this disclaimer.

Gold proves the rally isn’t over by reaching another record high. These impressive moves attract many investors, yet many are unprepared for what is likely to happen next.

In this week’s The Gold Spot, Scottsdale Bullion & Coin Precious Metals Advisors Kathem Martin and Precious Metals Advisor Todd Graf explain what’s fueling the yellow metal’s rally and the importance of making a move sooner rather than later.

Gold Prices Crack $2,500

Last Friday, August 16, 2024, gold surged to $2,500 an ounce for the first time. This is a significant number for a few reasons. First and foremost, $2,500 is a psychological barrier that signals bullish sentiment and upward momentum when surpassed.

Plus, this most recent record puts gold in line with analyst’s average price predicted for 2024, and there are still four months to go!

Average Gold Bullion Bar Now Worth Over $1 Million

This recent peak also means that gold delivery bars – the 400/oz bullion bars traded by central banks – are worth over $1 million for the first time.

Get More Out of Your Gold & Silver Investments

Learn How

What’s Driving this Gold Rally?

Rates Cuts

(UPDATE) On Friday, August 23, 2024, Federal Reserve Chair Jerome Powell finally indicated interest rate cuts were on the horizon. Powell stated during his speech at the annual Jackson Hole, Wyoming retreat, “The time has come for policy to adjust.” The Fed chairman did not specify how big or when these cuts would occur, but many believe the first-rate reductions will come in September.

Regardless, the Fed’s signaling sent markets moving, with the spot price of gold hitting an intra-day high of $2,519.40/oz.

Geopolitical Instability

The geopolitical landscape is increasingly unstable as wars in Eastern Europe and the Middle East threaten to boil over into larger conflicts. This global instability forces many people out of vulnerable markets and into safe-haven assets like gold, to say nothing of the deteriorating US-Chinese relations.

Central Bank Gold Buying

Central bank gold buying shattered records in the first half of 2024, underscoring the global lack of faith in the US dollar and fiat currency. As the wealthiest investors in the world, government banks heavily influence gold prices.

“The central banks are trying to buy as much gold as they can.” – Precious Metals Advisor Kathem Martin

With central bank gold demand expected to increase, this influx of investments is likely to push gold prices even higher.

Retail Demand

Retail investor demand is also elevating gold prices as safe-haven demand rises in the face of growing economic pressures. Chinese investors have led the retail charge into gold assets as the Chinese economy faces severe headwinds from a weakening Yuan and a crumbling stock market.

Don’t Wait to Buy Gold, Buy Gold and Wait

Amidst record-breaking gold prices, many investors find themselves like deer caught in headlights—fascinated by the market but paralyzed with indecision. This hesitation, however, can be costly. The time-honored wisdom of buying gold and waiting, rather than waiting to buy gold, has never rung truer.

“Things are moving very fast. A lot of folks are coming into this market more unprepared…than in the past.” – Precious Metals Advisor Kathem Martin

The factors driving gold’s surge remain robust, signaling that this upward momentum is far from over. Experts are raising their gold price predictions in light of these strong indicators.

If you want to learn more about investing in gold, contact one of our precious metals advisors by calling toll-free at 1-888-812-9892 or using our live chat function.

Gold proves the rally isn’t over by reaching another record high. These impressive moves attract many investors, yet many are unprepared for what is likely to happen next.

In this week’s The Gold Spot, Scottsdale Bullion & Coin Precious Metals Advisors Kathem Martin and Precious Metals Advisor Todd Graf explain what’s fueling the yellow metal’s rally and the importance of making a move sooner rather than later.

Gold Prices Crack $2,500

Last Friday, August 16, 2024, gold surged to $2,500 an ounce for the first time. This is a significant number for a few reasons. First and foremost, $2,500 is a psychological barrier that signals bullish sentiment and upward momentum when surpassed.

Plus, this most recent record puts gold in line with analyst’s average price predicted for 2024, and there are still four months to go!

Average Gold Bullion Bar Now Worth Over $1 Million

This recent peak also means that gold delivery bars – the 400/oz bullion bars traded by central banks – are worth over $1 million for the first time.

Get More Out of Your Gold & Silver Investments

Learn How

What’s Driving this Gold Rally?

Rates Cuts

(UPDATE) On Friday, August 23, 2024, Federal Reserve Chair Jerome Powell finally indicated interest rate cuts were on the horizon. Powell stated during his speech at the annual Jackson Hole, Wyoming retreat, “The time has come for policy to adjust.” The Fed chairman did not specify how big or when these cuts would occur, but many believe the first-rate reductions will come in September.

Regardless, the Fed’s signaling sent markets moving, with the spot price of gold hitting an intra-day high of $2,519.40/oz.

Geopolitical Instability

The geopolitical landscape is increasingly unstable as wars in Eastern Europe and the Middle East threaten to boil over into larger conflicts. This global instability forces many people out of vulnerable markets and into safe-haven assets like gold, to say nothing of the deteriorating US-Chinese relations.

Central Bank Gold Buying

Central bank gold buying shattered records in the first half of 2024, underscoring the global lack of faith in the US dollar and fiat currency. As the wealthiest investors in the world, government banks heavily influence gold prices.

“The central banks are trying to buy as much gold as they can.” – Precious Metals Advisor Kathem Martin

With central bank gold demand expected to increase, this influx of investments is likely to push gold prices even higher.

Retail Demand

Retail investor demand is also elevating gold prices as safe-haven demand rises in the face of growing economic pressures. Chinese investors have led the retail charge into gold assets as the Chinese economy faces severe headwinds from a weakening Yuan and a crumbling stock market.

Don’t Wait to Buy Gold, Buy Gold and Wait

Amidst record-breaking gold prices, many investors find themselves like deer caught in headlights—fascinated by the market but paralyzed with indecision. This hesitation, however, can be costly. The time-honored wisdom of buying gold and waiting, rather than waiting to buy gold, has never rung truer.

“Things are moving very fast. A lot of folks are coming into this market more unprepared…than in the past.” – Precious Metals Advisor Kathem Martin

The factors driving gold’s surge remain robust, signaling that this upward momentum is far from over. Experts are raising their gold price predictions in light of these strong indicators.

If you want to learn more about investing in gold, contact one of our precious metals advisors by calling toll-free at 1-888-812-9892 or using our live chat function.

Gold steady early Monday after hitting last week’s record high on Friday. Investors now await the latest inflation data for further signals on the timeline of U.S. interest rate cuts.

The U.S. consumer price index is scheduled for release Tuesday with March data. The Federal Reserve closely tracks both labor market and inflation data when determining monetary policy. The monthly U.S. jobs report came in Friday and showed the country added a greater-than-expected 275,000 jobs in February, though the unemployment rate went up. 

Gold rallied on the jobs report, reaching a fresh record high. The strong labor market added to speculation that the Fed will cut interest rates soon. Lower interest rates are considered bullish for the yellow metal, making it a more attractive asset for investors. The market is currently pricing in a June start to rate cuts. 

Front-month gold futures rose 4.3% last week to settle at $2,185.50 an ounce on Comex after the most-active April contract gained 0.9% Friday. Bullion dropped 0.6% in February after declining 0.2% in January and gaining 0.7% in December. The metal rose 13% in 2023. The April contract is currently down $1.30 (-0.06%) an ounce to $2184.20 and the DG spot price is $2180.50.

Comex gold speculators boosted their net long positions by 63,018 contracts in the week ended March 5 to 131,060, according to the Commitments of Traders report released Friday by the U.S. Commodity Futures Trading Commission. 

Geopolitical unrest, particularly the wars in Ukraine and Gaza, have bolstered haven demand for the precious metal in recent months, and central banks in places like China are adding to their holdings. But high prices are also dampening consumer demand in places like Dubai. 

About 97% of the investors tracked by the CME FedWatch Tool are betting that the Fed will keep rates unchanged this month, while 3% expect a 25 basis point cut. Most investors tracked by the tool also anticipate the Fed will hold rates steady at the following policy meeting in May. Most are now looking to June for a rate cut. 

The central bank has raised interest rates by 5.25 percentage points since March 2022 in an effort to cut inflation, but kept rates unchanged at 5.25% to 5.50% at its last meeting. 

Front-month silver futures rose 5.1% last week to settle at $24.55 an ounce on Comex, though the May contract slipped 0.1% Friday. Silver lost 1.2% in February after falling 3.8% in January and dropping 6.1% in December. It ticked up 0.2% in 2023. The May contract is currently up $0.066 (+0.27%) an ounce to $24.615 and the DG spot price is $24.48.

Spot palladium increased 6.2% last week to $1,027.00 an ounce but dropped 2.4% Friday. Palladium fell 4.6% in February after tumbling 11% in January and advancing 8.6% in December. Palladium plummeted 38% last year. Currently, the DG spot price is up $19.20 an ounce to $1048.50.

Spot platinum advanced 2.9% last week to $916.30 an ounce but retreated 1% Friday. Platinum decreased 4.9% in February after falling 8% in January and rising 8.1% in December. Platinum dropped 6.8% in 2023. The DG spot price is currently up $21.40 an ounce to $938.20.

Disclaimer: This editorial has been prepared by Dillon Gage Metals for information and thought-provoking purposes only and does not purport to predict or forecast actual results. This editorial opinion is not to be construed as investment advice or a recommendation regarding any particular security, commodity, or course of action. Opinions expressed herein cannot be attributable to Dillon Gage. Reasonable people may disagree about the events discussed or opinions expressed herein. In the event any of the assumptions used herein do not come to fruition, results are likely to vary substantially. It is not a solicitation or advice to make any exchange in commodities, securities, or other financial instruments. No part of this editorial may be reproduced in any manner, in whole or in part, without the prior written permission of Dillon Gage Metals. Dillon Gage Metals shall not have any liability for any damages of any kind whatsoever relating to this editorial. You should consult your advisers with respect to these areas. By posting this editorial, you acknowledge, understand, and accept this disclaimer.

Gold steady early Monday after hitting last week’s record high on Friday. Investors now await the latest inflation data for further signals on the timeline of U.S. interest rate cuts.

The U.S. consumer price index is scheduled for release Tuesday with March data. The Federal Reserve closely tracks both labor market and inflation data when determining monetary policy. The monthly U.S. jobs report came in Friday and showed the country added a greater-than-expected 275,000 jobs in February, though the unemployment rate went up. 

Gold rallied on the jobs report, reaching a fresh record high. The strong labor market added to speculation that the Fed will cut interest rates soon. Lower interest rates are considered bullish for the yellow metal, making it a more attractive asset for investors. The market is currently pricing in a June start to rate cuts. 

Front-month gold futures rose 4.3% last week to settle at $2,185.50 an ounce on Comex after the most-active April contract gained 0.9% Friday. Bullion dropped 0.6% in February after declining 0.2% in January and gaining 0.7% in December. The metal rose 13% in 2023. The April contract is currently down $1.30 (-0.06%) an ounce to $2184.20 and the DG spot price is $2180.50.

Comex gold speculators boosted their net long positions by 63,018 contracts in the week ended March 5 to 131,060, according to the Commitments of Traders report released Friday by the U.S. Commodity Futures Trading Commission. 

Geopolitical unrest, particularly the wars in Ukraine and Gaza, have bolstered haven demand for the precious metal in recent months, and central banks in places like China are adding to their holdings. But high prices are also dampening consumer demand in places like Dubai. 

About 97% of the investors tracked by the CME FedWatch Tool are betting that the Fed will keep rates unchanged this month, while 3% expect a 25 basis point cut. Most investors tracked by the tool also anticipate the Fed will hold rates steady at the following policy meeting in May. Most are now looking to June for a rate cut. 

The central bank has raised interest rates by 5.25 percentage points since March 2022 in an effort to cut inflation, but kept rates unchanged at 5.25% to 5.50% at its last meeting. 

Front-month silver futures rose 5.1% last week to settle at $24.55 an ounce on Comex, though the May contract slipped 0.1% Friday. Silver lost 1.2% in February after falling 3.8% in January and dropping 6.1% in December. It ticked up 0.2% in 2023. The May contract is currently up $0.066 (+0.27%) an ounce to $24.615 and the DG spot price is $24.48.

Spot palladium increased 6.2% last week to $1,027.00 an ounce but dropped 2.4% Friday. Palladium fell 4.6% in February after tumbling 11% in January and advancing 8.6% in December. Palladium plummeted 38% last year. Currently, the DG spot price is up $19.20 an ounce to $1048.50.

Spot platinum advanced 2.9% last week to $916.30 an ounce but retreated 1% Friday. Platinum decreased 4.9% in February after falling 8% in January and rising 8.1% in December. Platinum dropped 6.8% in 2023. The DG spot price is currently up $21.40 an ounce to $938.20.

Disclaimer: This editorial has been prepared by Dillon Gage Metals for information and thought-provoking purposes only and does not purport to predict or forecast actual results. This editorial opinion is not to be construed as investment advice or a recommendation regarding any particular security, commodity, or course of action. Opinions expressed herein cannot be attributable to Dillon Gage. Reasonable people may disagree about the events discussed or opinions expressed herein. In the event any of the assumptions used herein do not come to fruition, results are likely to vary substantially. It is not a solicitation or advice to make any exchange in commodities, securities, or other financial instruments. No part of this editorial may be reproduced in any manner, in whole or in part, without the prior written permission of Dillon Gage Metals. Dillon Gage Metals shall not have any liability for any damages of any kind whatsoever relating to this editorial. You should consult your advisers with respect to these areas. By posting this editorial, you acknowledge, understand, and accept this disclaimer.