The gold market took a one-two punch on Tuesday as Trump made some concessions in the trade war and inflation numbers came in a bit higher than expected. Peter Schiff talked about it in his latest podcast, saying gold traders still don’t understand the gold rally.
The price of gold surged this week, breaking all-time records in a number of currencies. It also did pretty well in dollar terms, hitting six-year highs and pushing above the key $1,500 level. Meanwhile, silver had its best single day in over three years. What drove this week’s precious metals rally? And can we expect it to continue? Host Mike Maharrey talks about it in this week’s Friday Gold Wrap.
Gold pushed above $1,500 again Wednesday (Aug. 7) and silver joined the party, charting its biggest single-day gain in nearly three years.
Silver surged 73 cents on the day for a 4.4% gain, closing above the key $17 level for the first time since January 2018.
Several currencies have been strong against the dollar over the last couple of days, but as Peter Schiff said in his podcast, the biggest gainer wasn’t a currency at all. It was real money – gold.
Gold hit six-year highs on Monday and set records in a number of currencies. It continued to move upward on Tuesday. Overnight, the yellow metal pushed briefly above $1,500.
The Federal Reserve’s modest rate cut last week disappointed President Donald Trump. He wanted more and he was quick to criticize Powell and Company. The very next day, the president trumped the Fed by slapping down the tariff card.
Peter Schiff talked about the president’s move in a recent podcast.
Gold hit record highs in a number of currencies on Monday as trade war worries, geopolitical uncertainty and expectations of a slowing economy drove investors to seek safe haven.
During a recent interview on Fox Business, Peter Schiff said the trade is to get out of the dollar and look at gold. As if to prove him right, gold shot up about 1.5% Monday in dollar terms, hitting a six-year high. The yellow metal pushed to $1,469,60 before some profit-taking stalled the rally.
The Federal Reserve came through with its first interest rate cut in more than a decade this week. But with Jerome Powell trying desperately to convince everybody that this wasn’t the beginning of a long cutting cycle, the stock markets weren’t pleased. And neither was President Trump. So, he decided to put his own fingerprint on the markets, announcing new tariffs on Chinese products. In this week’s Friday Gold Wrap podcast, host Mike Maharrey breaks it all down and explains how it impacted the gold market.
Gold has gone through some wild mood swings this week. It plunged back below $1,400 per ounce on Monday only to rally and climb back above that key level on Tuesday. What’s driving these fluctuations? And what should investors be focusing on? Mike Maharrey talks about it in this week’s Friday Gold wrap. He also touches on some positive signs in the silver market, the global movement toward de-dollarization, and he remembers a friend of liberty who passed away this week.
And just like that, gold was over $1,400. Just a couple of weeks ago, we were talking about how gold was struggling to crack through the key $1,300 level. In this episode of the Friday Gold Wrap, host Mike Maharrey talks about the main drivers behind the gold market right now, including the trade war and central bank mechanizations. He also covers some supply and demand fundamentals.
The following is a market update as it related to precious metals prepared by SchiffGold intern commodities analyst Jason Mezhibovsky.
Last week, the Federal Reserve released the minutes from its Federal Open Market Committee meeting earlier this month. There weren’t any big surprises. The FOMC indicated that it would continue to take a “patient” approach to its monetary policy, basically stating that it is in no rush to adjust the policy either way for now.
Fed officials seemed to agree that this “do-nothing with interest rates” approach could continue for “some time.”