Precious metals news

Gold prices retreated slightly on Tuesday after surging in response to Iran's missile strikes on Israel. The precious metal's decline came as investors awaited potential further developments in the escalating Middle East conflict, with Israeli Prime Minister Netanyahu vowing retaliation. Markets are also looking ahead to the U.S. jobs report later this week for insights into potential Federal Reserve interest rate cuts.

Dockworkers at major ports along the US East and Gulf coasts have initiated a strike, causing significant disruption to container and auto shipments. This work stoppage, affecting 36 ports that handle up to half of US trade volumes, could cost the economy billions daily and potentially impact the upcoming presidential election. The strike's duration will determine its full economic impact, with experts predicting substantial losses and prolonged shipping congestion.

The Israeli military has reported that Iran has fired missiles at Israel, escalating the already tense situation in the Middle East. This attack follows recent Israeli strikes in Beirut and comes after the US warned of an imminent Iranian missile launch. The Israeli government has urged citizens to seek shelter, while the US has pledged support for Israel's defense efforts and warned of severe consequences for Iran.

Tensions in the Middle East have reached a critical point as U.S. officials report that Iran is on the verge of launching ballistic missiles at Israel. This development follows Israel's recent military actions in southern Lebanon against Hezbollah, an Iran-backed militant group. The U.S. government has expressed its support for Israel's defense efforts and cautioned Iran about the serious repercussions of any direct attack.

Government bonds rallied and the dollar strengthened on Tuesday as euro zone inflation data supported faster ECB rate cuts, while Fed Chair Powell's comments tempered expectations for aggressive U.S. rate reductions. Oil prices fell despite escalating Middle East tensions. European stocks rose slightly, but U.S. futures were mixed.

Indian non-bank gold lenders experienced a significant stock price drop following the Reserve Bank of India's discovery of irregular practices in the industry. The central bank's findings, which included issues with third-party involvement and inadequate due diligence, have raised concerns about potential growth limitations and stricter regulations for these lenders.

UBS Investment Bank's precious metals strategist Joni Teves emphasizes that macroeconomic factors, particularly the expected deterioration of the US fiscal deficit, are the primary drivers of gold prices. Despite geopolitical tensions, Teves suggests that the worsening fiscal situation in the US, regardless of election outcomes, will likely boost gold prices in the medium to long term.

After the crazy day in the markets due to Iran retaliating with ballistic missiles fired into Israel, I didn't feel like writing anything besides this brief post about Julian Assange's speech at the Council of Europe yesterday.  This might provide some insight on the Presidential Race...

In this insightful interview, Alan Hibbard from GoldSilver.com breaks down the key trends driving gold, silver, and Bitcoin prices.

UBS has raised its gold price forecast, predicting the precious metal will reach $2,750 per ounce by the end of 2024, up from its previous estimate of $2,600. The bank cites strong investment demand, declining US real interest rates, seasonal jewelry consumption recovery, and ongoing central bank purchases as key drivers for this bullish outlook. UBS further projects gold prices to climb to $2,850 per ounce by mid-2025 and $2,900 per ounce by the third quarter of 2025.

The vice presidential debate between JD Vance and Tim Walz, scheduled for Tuesday in New York, marks a crucial moment in the 2024 election campaign. As the last scheduled debate before Election Day on November 5, this face-off could significantly impact the tight race between Republican nominee Donald Trump and Democratic candidate Kamala Harris. Both Vance and Walz, representing contrasting political ideologies and personal backgrounds, will aim to sway undecided voters while defending their respective tickets' policies and visions for America.

Federal Reserve Chair Jerome Powell is set to speak at a National Association for Business Economics meeting, with economists expressing concern about potential policy mistakes as the Fed navigates the final stages of its inflation battle. A survey of professional forecasters identified monetary policy errors as the greatest downside risk to the U.S. economy in the next 12 months, followed by the upcoming presidential election and geopolitical conflicts. Powell's speech is expected to provide insights into the Fed's recent rate cut decision and future policy considerations.

Gold hovers close to its all-time peak, showing resilience despite minor selling pressure. Investors are carefully weighing positive economic signals from China against Middle East conflicts and potential Fed rate cuts. The market remains in a holding pattern as traders anticipate crucial insights from Fed Chair Powell's upcoming speech.

Natural gas and artificial intelligence (AI) data centers are emerging as key players in the future of energy consumption. The rapid growth of AI technologies is driving an unprecedented surge in electricity demand, with data centers projected to consume up to 9% of U.S. electricity generation by 2030, more than doubling their current usage. Natural gas is expected to supply 60% of this growth, offering a reliable and quickly deployable solution to meet the immediate power needs of expanding data centers. This trend is reshaping the energy landscape, with natural gas companies positioning themselves to meet the growing demand from AI-driven data centers, potentially leading to significant price increases and investment opportunities in the natural gas sector.

Gold is poised for its strongest quarterly performance since 2016, with a 14% increase so far this quarter. Despite a slight pullback on Monday, the precious metal remains near record highs, buoyed by the Federal Reserve's recent rate cut, geopolitical tensions, and expectations of further monetary easing. Analysts anticipate continued strength in gold prices, with some projecting a rise to $2,900 per ounce over the next 12 months.

After the CME raised Gold and Silver Margin requirements effective Sept. 27th, the precious metals prices sold off on Friday.  This was the second time the CME had hiked margins on silver futures in the past ten days.   Also, what is going on with the natural gas market and price...

Unfortunately, the U.S. and the world have entered into an exponential increase in debt trend that can't be stopped, or the global economy will head into a depression that never ends.  I chatted with Tom at Palisades Radio about the Energy Cliff predicament the world will face in the future...

Incrementum's research uncovers a surprising trend: the iPhone 16 is cheaper in gold, while its dollar price climbs.

Incrementum's latest research shows that when priced in gold, the cost of the iPhone is actually going down! The iPhone 16 Pro with 1 TB storage costs 0.60 ounces of gold, which is 23% less than last year's model. This decrease is due to the significant rise in gold prices over the past year. The piece highlights that iPhones have become increasingly affordable when priced in gold, with the current model being almost 50% cheaper than in 2018 when measured in gold ounces.

Sterling experienced a minor decline against the dollar on Friday but stayed close to its highest level since February 2022, benefiting from improved risk sentiment and the policy rate differential between the UK and the US. The pound's performance against the euro remained stable, continuing its positive trend for the third week. While the current monetary policy outlook supports the pound, analysts caution about potential headwinds, including the upcoming UK budget and possible tax changes that could impact investors and entrepreneurs.