Gold and Silver Industry & Investing News

Gold prices dropped 2.2% to $3,305.79 on Wednesday, backing away from the record high of $3,500.05 reached the previous day. This decline coincided with a shift in market sentiment after two key statements from President Trump: reassurance that he wouldn’t fire Fed Chair Powell despite recent criticism, and optimism about progress with China that could substantially lower tariffs. According to market analyst Phillip Streible, investors are rotating out of safe haven assets like gold and back into specific stocks. Despite this correction, which found support at $3,292, gold remains in a strong uptrend, having gained more than 26% since early...

BNY data shows foreign investors are rapidly selling U.S. Treasury bonds in April 2025 amid President Trump’s escalating tariff disputes. John Velis, BNY’s Americas macro strategist, warns that Treasurys’ “haven status is increasingly in question,” with the week ending April 11 experiencing one of the largest selloffs in years. While the White House defends tariffs as tools to combat fentanyl trafficking, control immigration, and boost domestic manufacturing, the U.S. relies heavily on foreign buyers to finance its deficit. Foreign ownership of Treasury debt has fallen from 50% in 2008 to around 30% today. The selloff accelerated after Trump’s April 2...

President Trump moderated his stance on tariffs and the Federal Reserve after facing pressure from major retailers and witnessing market declines. CEOs from Walmart, Target, and Home Depot warned him that continued tariff policies could lead to empty shelves and price increases within two weeks. Following these warnings and a market slump, Trump softened his rhetoric, signaling potential trade talks with China that could reduce tariffs from 145%, and backing away from threats to fire Fed Chair Powell. While White House officials describe this as strategic negotiation rather than weakness, Trump faces declining economic approval ratings amid concerns about inflation,...

According to Bank of America’s analysis of recent earnings calls, corporate executives are expressing unprecedented pessimism about economic conditions during recent earnings calls, reaching levels not seen since the 2009 financial crisis. Many companies are reducing their 2025 guidance due to uncertainty surrounding Donald Trump’s trade policies and tariffs. With the S&P 500 down nearly 15% from February’s high, this earnings season carries significant importance. Companies are struggling to quantify the impact of rapidly shifting trade policies, with 27% of S&P 500 firms cutting guidance while only 9% have raised their outlook. Automakers have been hit hardest, while consumer staples...

President Trump has announced a significant reduction in tariffs on Chinese goods, marking a retreat from his previous hardline position amid concerns about the escalating trade war. “Tariffs will come down substantially,” Trump stated, expressing optimism about reaching a trade agreement with China. This shift from his earlier aggressive stance, which had prompted substantial Chinese retaliation, has helped calm financial markets and sparked hopes for de-escalation in one of the most severe recent trade confrontations.

Western investors are making a strong comeback to the gold market after a three-year break, purchasing about 240 tons of gold-backed ETFs by mid-April. That’s a significant shift from the 441 tons they sold in the past three years. This surge in demand is boosting prices, with gold recently breaking above $3,500 per ounce. Major ETF inflows, especially into SPDR Gold Shares, are driven by institutional investors looking to hedge against market risks. Analysts believe this buying trend could push gold prices as high as $5,000 in the long run.

The US dollar is experiencing a substantial decline, having weakened more than 9% this year amid uncertainty about US policy. This has triggered a flight from US assets, with Bank of America reporting the most pessimistic dollar outlook from investors in nearly 20 years. As the dollar falls, safe-haven currencies have appreciated significantly – the Japanese yen (10%), Swiss franc and euro (11%) have all strengthened, alongside currencies like the Mexican peso, Canadian dollar, Polish zloty, and Russian rouble. However, some emerging markets have seen their currencies hit record lows despite the weaker dollar.

Recent Treasury market volatility has been driven by concerns about foreign investor support, with some fearing that tariff tensions might cause investors to sell Treasuries. While foreign investors own about 30% of the Treasury market, Goldman Sachs’ William Marshall notes there’s little evidence of active selling by foreign central banks. However, long-term diversification away from dollar assets remains a possibility. The Treasury market faces three main challenges: concerns about the US economy, reassessment of tariff implications, and potential shifts away from dollar assets. Despite these challenges, positive factors such as potential regulatory changes could help banks better absorb Treasury supply,...

Gold ETFs in China are experiencing massive growth as investors seek shelter from market uncertainty caused by trade tensions. Assets under management in Chinese gold ETFs have increased by $9.6 billion to reach 126.7 billion yuan, with the largest fund managed by Hua An Fund Management holding 64.2 billion yuan. Gold prices recently topped $3,400 per ounce and have risen over 60% in two years, positioning the metal as an alternative to traditional safe havens like US Treasury bonds and the dollar. This shift comes as the US dollar index approaches its lowest level since March 2022, and as central...

Apollo Global Management’s chief economist predicts a 90% chance that the US will enter a “Voluntary Trade Reset Recession” due to Trump’s tariff policies. Small businesses are expected to be particularly vulnerable as they lack the working capital to pay tariffs. While some financial institutions like Morgan Stanley and Goldman Sachs put recession chances between 40-45%, JPMorgan estimates a 60% probability. White House officials remain optimistic, but prominent economists including Ray Dalio and Lawrence Summers express significant concerns, with Summers predicting 2 million additional Americans could become unemployed.