Gold and Silver Industry & Investing News

Citi has raised its three-month gold price target to $3,500 per ounce from $3,300, citing deteriorating US economic conditions and inflation concerns. The bank expects gold to trade between $3,300-$3,600 as Trump’s new tariffs on dozens of countries, weak labor data showing only 73,000 jobs added in July, and a weakening dollar create favorable conditions for the precious metal. With markets now pricing an 81% chance of a September Fed rate cut and growing concerns about institutional credibility, gold demand has surged by over one-third since mid-2022, nearly doubling prices.

Oil prices fell over 1% Monday after OPEC+ confirmed it will increase production by 547,000 barrels per day in September, continuing its strategy to regain market share. Brent crude dropped to $68.82 and WTI to $66.51 per barrel. The move reverses OPEC+’s previous cuts of 2.5 million barrels per day. Meanwhile, markets remain nervous about President Trump’s threat of 100% secondary tariffs on Russian oil buyers, which could impact 1.7 million barrels per day of supply, though India has indicated it will continue purchasing Russian crude despite the warnings.

Federal Reserve Governor Adriana Kugler’s unexpected resignation on Friday gives President Trump an immediate opportunity to influence Fed policy and potentially accelerate his selection of the next Fed chair. The resignation comes amid intense White House pressure on the central bank, with Trump calling current Fed Chair Jerome Powell “TOO ANGRY, TOO STUPID, & TOO POLITICAL” for refusing to cut interest rates. While Trump can now appoint a replacement who favors lower rates, one additional vote is unlikely to sway Fed policy, as this week’s 9-2 vote to keep rates unchanged shows the challenge of shifting the committee’s stance.

The US dollar stabilized Monday after Friday’s sharp decline triggered by weak jobs data and political turmoil. July employment figures showed only 73,000 jobs added with massive downward revisions of 258,000 for prior months, while President Trump’s firing of the Bureau of Labor Statistics Commissioner added to market uncertainty. The dollar had plunged over 2% against the yen and 1.5% against the euro Friday, with markets now pricing a 90% chance of a Federal Reserve rate cut in September. Meanwhile, the Swiss franc weakened after Trump imposed high tariffs on Swiss imports.

Switzerland’s massive gold refining industry has become a key factor in US-Swiss trade relations after President Trump imposed 39% tariffs on Swiss imports. The country processes billions in gold annually, with bullion exports to the US reaching over $36 billion in Q1 2024—representing two-thirds of Switzerland’s trade surplus with America. Despite handling vast sums, Swiss refiners only capture a few dollars per ounce for recasting gold bars. While gold is now exempt from the tariffs, the precious metal’s flows continue to significantly impact trade balance calculations between the two nations.

Gold prices dipped slightly on Monday after last week’s strong rally, falling 0.2% to $3,356.91 per ounce. The decline came as U.S. Treasury yields rose and investors took profits following Friday’s 2% surge. Despite the pullback, market sentiment remains bullish due to weak U.S. jobs data that increased expectations for a Federal Reserve rate cut in September. Investment bank Citi raised its three-month gold price target to $3,500 per ounce, citing concerns about U.S. economic growth.

At its July meeting, the Federal Reserve chose to keep interest rates steady, rejecting President Trump’s calls for a rate cut. The decision came in a 9-2 vote, marking the first time in decades with two dissenting members who favored easing rates, believing inflation was under control. Fed Chair Jerome Powell explained that inflation remains above the 2% target, and the economy’s strength justifies holding rates for now. Recent data shows inflation rose slightly in June, influenced partly by new trade tariffs, which are beginning to affect prices on goods like appliances and groceries.

Gold is experiencing a strong rally, reaching record prices driven by geopolitical tensions, economic uncertainty, and heavy central bank buying. Although the recent gold price highs invite comparisons to the 1980 peak during a period of extreme inflation and political turmoil, today’s economic conditions are different—current inflation and unemployment are lower, and markets are generally healthier. Central banks now actively buy gold, unlike in the 1980s when they were mostly sellers. This shift, combined with rising geopolitical risks, supports gold’s role as a key safe-haven asset, potentially sustaining its high value.

Both President Trump and Democratic leaders are making conflicting and sometimes misleading claims about inflation and price changes during Trump’s current term. Trump says prices for groceries, energy, and eggs have fallen, while Democrats say costs keep rising. Experts note many factors affect prices—like tariffs, weather, disease outbreaks, and global markets—so it’s too soon to fully judge the impact of policies. For instance, grocery and beef prices rose due to tariffs and supply issues, while egg prices fell mainly because the bird flu eased. Gasoline prices are steady but not as low as Trump claims, and electricity costs have gone...

In its Q2 2025 Gold Demand Trends report, the World Gold Council (WGC) says total gold demand, including over‑the‑counter trades, rose 3 % year‑on‑year to 1,249 tonnes amid geopolitical uncertainty. Gold ETF inflows of 170 t in Q2 and 397 t in the first half were the strongest since 2020, while bar and coin demand grew 11 % to 307 t, led by a 44 % surge in Chinese investment and solid Indian buying. Central banks added 166 t of gold—slower than previous quarters but still high, and jewellery demand fell 14 % due to high prices. WGC analyst Louise...