Precious metals news

Tuesday saw gold prices hit all-time highs during Asian trade, extending recent gains as markets remained optimistic about U.S. interest rate cuts. The rally was supported by the Federal Reserve's dovish stance and geopolitical tensions. Simultaneously, copper prices rose sharply in response to China's newly announced stimulus package, which raised expectations for increased demand from the world's top copper consumer.

When you start looking at the numbers and trends, this is the decade when the U.S. Government Deficit Crisis will hit a Brick Wall.  Unfortunately, if the U.S. Government stopped running massive deficits, the U.S. Economy would head into a Free Fall...

Precious metals are attracting increased speculative interest due to geopolitical risks, potential Federal Reserve rate cuts, and anticipated festival demand in India. Oil prices have rebounded, with ICE Brent recovering above $75/bbl, driven by Middle East tensions and improving Chinese economic sentiment. Meanwhile, China's aluminium production has risen, while its gold imports have significantly decreased due to record prices.

David Tait, CEO of the World Gold Council, states that China's gold market has evolved from a follower to a leader and is poised to play an increasingly significant role globally. China has been the world's largest gold consumer for over a decade and the largest producer for 15 consecutive years, highlighting its crucial influence in shaping the future of the global gold industry.

This chart shows gold vs. the stock market since Bernanke’s famous ‘helicopter drop’ speech. The chart compares gold's performance to the stock market since Ben Bernanke's famous "helicopter drop" speech in 2002. Gold has significantly outperformed the S&P 500, reaching a record high of $2,619.90 per ounce, reflecting investors' concerns about inflation and the declining purchasing power of the U.S. dollar. Morgan Stanley analysts suggest that this trend may continue, with high-quality assets like gold performing well while lower-quality and cyclical assets struggle in an environment of heavy fiscal spending.

While the silver price could spike, the more critical factor is the bullish fundamentals that will keep silver at a higher sustained level.  Total silver demand is getting so strong that there just won't be enough supply in the future without tapping into current inventories, only at much higher prices...

With the Fed's rate cut, gold and silver prices are climbing. Are you ready to capitalize on this historic rally in precious metals?

The British pound strengthened against the dollar and euro on Friday, buoyed by better-than-expected UK retail sales data for August. This positive economic indicator, combined with steady inflation figures and the Bank of England's cautious stance on interest rates, has contributed to sterling's upward trend. The currency briefly touched its highest level against the dollar since March 2022, while also gaining ground against the euro.

As the Federal Reserve begins its first interest rate cuts since 2020, Chairman Jay Powell must navigate a delicate economic situation. While Powell maintains that the Fed's actions are timely, critics suggest the central bank may be late in responding to economic signals. The success of Powell's strategy hinges on his ability to balance rate cuts with evolving economic conditions, particularly in the labor market, to avoid potential risks to achieving a soft landing for the US economy.

Commodities have gained for the second week, buoyed by the Federal Reserve's rate cuts that reduce funding costs. Most sectors are up, notably soft commodities with sugar seeing historic gains. The energy sector rebounds from an early September decline. Gold's price surge continues amid the rate cuts, reaching new records, while silver outpaces gold with even higher returns due to its industrial and precious metal status. This trend reflects broader economic imbalances and a shift towards safe-haven assets.

Incrementum, a Liechtenstein-based asset management firm, has released its latest research report focusing on the beer to gold ratio at Oktoberfest. This unique metric compares the purchasing power of gold to the price of beer at the world-famous festival in Munich.The 2024 Oktoberfest in Munich will see beer prices ranging from €13.60 to €15.30 per liter, marking a 3.87% increase from 2023. Some large tents are now charging over €15 for the first time. While beer prices continue to rise, they remain a popular topic of discussion among festival-goers and economists alike.

India's gold imports hit a record high in August following a significant cut in import duties, driving global gold prices to new heights. The tariff reduction at the end of July sparked a surge in demand for gold jewelry and bars in India, the world's second-largest gold buyer. This unexpected boost in Indian consumption has contributed to the overall rally in gold prices, which have risen by 25% since the beginning of the year.

Gold prices soared to an unprecedented high of $2,609.62 per ounce on Friday, driven by the Federal Reserve's recent interest rate cut and projections for further reductions. This rally reflects growing investor interest in gold as a safe-haven asset amid global economic uncertainties, geopolitical tensions, and a weakening U.S. dollar. The precious metal's appeal has been further enhanced by lower interest rates, which reduce the opportunity cost of holding non-yielding assets like gold.

Gold miners are experiencing a renaissance as gold prices hit record highs, surpassing $2,600 per ounce. This boom, driven by emerging market demand and a pessimistic U.S. economic outlook, presents an opportunity for mining companies to boost revenues, invest in aging mines, and pursue strategic acquisitions. However, to win back skeptical investors, industry leaders stress the importance of demonstrating fiscal responsibility, offering attractive dividends, and making prudent expansion decisions.

The latest US jobless claims data shows a significant drop to 219,000 for the week ending September 14, the lowest level since May. This decrease, which was below economists' expectations, suggests that the labor market remains robust despite a slowdown in hiring. The four-week average of claims also fell, indicating a consistent trend of labor market strength.

BofA Global Research has uniquely increased its forecast for Federal Reserve rate cuts in 2024, predicting a 75-basis point reduction in Q4 following the Fed's larger-than-expected 50 bps cut. This adjustment surpasses the Fed's own projection of a half-percentage point decrease by year-end. BofA anticipates further cuts in 2025, potentially lowering the terminal rate to 2.75%-3.00% from the current 4.75%-5.00%.

Oil prices experienced a modest increase following the Federal Reserve's significant interest rate reduction. Brent crude futures climbed to $74.55 per barrel, recovering from recent lows. However, the market's response has been cautious, as the rate cut raises questions about the strength of the U.S. economy. Analysts note that while lower interest rates generally support economic growth and oil demand, the Fed's decision has also sparked concerns about potential economic challenges ahead.

The precious metals market saw significant gains on Thursday, with gold hitting record levels after the Federal Reserve announced the start of its interest rate easing cycle. The Fed's decision to cut rates by half a percentage point, coupled with projections of additional cuts through 2026, has bolstered gold's attractiveness as an investment, pushing prices above $2,580 per ounce.

Join us for a short update from the Limitless event as Russ Gray shares his incredible story of how he discovered a rare copy of The Enemy Within

Is the Silver Price heading to maybe $35 or $40?  That's one forecast from a silver analyst who has been criticized for being too "Bearish" in the past.  In this update, I show how the Rise or Decline in the Fed Funds Rate has impacted the silver price...