Blog posts tagged with 'silver'

Even though April gold posted a solid gain in Wednesday's trade, further confirmation of residual/sticky US inflation today could unleash an additional and perhaps more aggressive long liquidation washout.

Fortunately for the bull camp, the US dollar has not rallied on stubborn signs of sticky US inflation and declining US rate cut hopes, but that could change if Tuesday's inflation concern is reconfirmed by today's inflation news.

It should also be noted that Bitcoin posted new all-time highs again and, most gold mining shares showed significant gains yesterday with Newmont and Barrick up 1.7%, Harmony gold up 3.6% and Sibanye Stillwater up 6.7%...[MORE]

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While the dollar has not shown fresh direction following its aggressive recovery bounce yesterday, the upward bias from the charts and a measure of newfound respect for lingering inflation reduces the prospect of US easing in June.

However, gold and silver should be cushioned by continued chatter about a European rate cut in June.

In today's action, the markets could simply "mark time" as the other shoe to drop (Thursday's PPI) could easily rekindle another upward pulse in the dollar and downward pulse action in gold and silver...[MORE]

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There is no doubt the gold market has expended a tremendous amount of speculative buying fuel in achieving a $200 rally and today the trade will finally see the true origin of the rally.

In our opinion, part of the significant rally in gold is the market's attempt to mirror the record rally in Bitcoin, with a lesser force from hopes of a June rate cut.

Clearly, traders are becoming price-sensitive as Friday's massive range-up move has stalled and trading volume has moderated significantly...[MORE]

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With outside market action remaining in favor of the bear camp early today, the bull camp remains hopeful that this week's inflation data will further revive the prospect of a US rate cut, which in turn would continue to pressure the dollar and treasury yields lower.

However, the gold market is vulnerable this morning following comments from the Indian Bullion and Jewelers Association suggesting Indian wedding season demand will soften due to record pricing.

Along those lines, the domestic Indian gold trade has seen prices shift into a discount relative to global markets, with Chinese premiums narrowing...[MORE]

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