Gold and Silver Industry & Investing News

Gold has been outperforming the S&P 500 this decade, with a 113% return compared to 78%. While gold recently hit record highs, history suggests silver may be the better investment opportunity now. The gold-to-silver price ratio is currently at 98:1, far above the 30-year average of 68:1. In previous instances when this ratio was similarly high (like in March 2020), silver subsequently outperformed gold significantly. Silver offers both protection against economic uncertainty like gold, while also benefiting from industrial demand, making it potentially well-positioned for the current market conditions.

The Federal Reserve has officially withdrawn its guidance letter that required banks to seek permission before engaging in crypto-related activities. This follows similar actions by the OCC and FDIC, completing President Trump’s campaign promise to roll back restrictions on banks working with blockchain businesses. The Fed stated it will work with other agencies to consider whether additional guidance to support innovation in crypto-assets is appropriate.

Bridgewater Associates, one of the world’s largest hedge funds with $92.1 billion in client assets, has issued a warning that the Trump administration’s approach to reshaping the global economy could trigger a recession. In a Wednesday newsletter, the fund’s Co-Chief Investment Officers Bob Prince, Greg Jensen, and Karen Karniol-Tambour described a “rapid shift to modern mercantilism” that will likely damage both the economy and financial markets. The warning comes as markets have already shown negative reactions to Trump’s tariff policies, with the S&P 500 down 8.3% year-to-date and 5.2% since the April 2 announcement of “reciprocal tariffs.” U.S. bonds and...

A new AP-NORC poll shows many Americans are concerned about the economic impacts of President Trump’s tariff policies. About half of respondents believe the tariffs will significantly increase prices, and half are worried about a potential recession. While Trump’s approval rating on economic matters remains around 40%, public skepticism about tariffs has increased slightly since January. The economy currently shows mixed signals—solid employment figures but declining consumer confidence—as Americans watch to see how Trump’s trade policies will affect their daily lives.

JP Morgan has raised its gold price forecast, predicting prices will surpass $4,000 per ounce by Q2 2026. The bank projects gold will average $3,675/oz by Q4 2025. This outlook is supported by anticipated strong investor and central bank gold demand, averaging around 710 tonnes per quarter this year. Spot gold has already gained 29% this year, hitting 28 record highs and recently touching $3,500/oz for the first time. However, JP Morgan warns that an unexpected decline in central bank demand represents the biggest risk to gold’s continued rise. Meanwhile, silver faces near-term challenges but is expected to recover by...

China may suspend its 125% tariff on select US imports to relieve economic pressure on certain industries. The proposed exemptions would apply to medical equipment, industrial chemicals like ethane, and airplane leases for Chinese carriers. This mirrors the US’s recent decision to exclude electronics from its 145% tariff on Chinese goods. The potential exemptions have already positively impacted Asian markets, with shares rising and the yuan recovering from losses. These moves highlight how interconnected the US and Chinese economies remain despite tensions, with both sides recognizing that complete trade stoppage would harm key industries. Chinese authorities have asked companies in...

Gold prices fell by over 1.5% on Friday to $3,299.69 an ounce, trending toward a weekly decline as signs emerged of a potential de-escalation in the US-China trade war. Reports that China might exempt some US goods from tariffs boosted market optimism, strengthening the dollar and lifting European shares. Analyst Zain Vawda noted that a US-China trade agreement could push gold prices down toward $3,000 per ounce or lower. Despite the recent drop, gold has gained nearly 26% this year and reached a record high of $3,500.05 earlier in the week. Meanwhile, Federal Reserve officials indicated no urgency to revise...

Kenya’s Central Bank is actively exploring the addition of gold to its foreign reserves as a strategy to diversify beyond currencies like the US dollar. Governor Kamau Thugge confirmed a feasibility study is underway but declined to provide a timeline. Currently, Kenya holds only 600 ounces of gold valued at about $1.3 million, having sold most of its holdings in 1998. The country is also seeking a new IMF program after its previous $3.6 billion arrangement ended early in March.

The Federal Reserve appears increasingly united in delaying interest rate cuts until late 2024, with even traditionally dovish members now advocating patience. Christopher Waller, a Trump appointee to the Fed, believes the economic impact of proposed tariffs won’t be clear until the second half of 2024. Markets have adjusted expectations accordingly, with almost no chance of a May cut and declining probability for June. Most economists now predict the first cut will come in September or October, particularly as officials want to avoid making “pre-emptive moves” without clear evidence of economic necessity.

Gold prices declined 1.5% on Friday, retreating from record highs achieved earlier this week as signs emerged of easing trade tensions between the US and China. China has reportedly exempted some US goods from its 125% tariffs, causing gold to drop to $3,296.19 per ounce. Analysts suggest a US-China trade agreement could push gold prices even lower, potentially toward $3,000 per ounce. Despite the current decline, gold has still performed strongly in 2024, up more than 25% year-to-date. Meanwhile, the Fed is taking a cautious approach to monetary policy as it evaluates economic impacts of tariffs.