Gold and Silver Industry & Investing News

Global markets rallied after the US and China announced a 90-day reduction in trade tariffs following weekend negotiations in Switzerland. European indexes like France’s CAC 40 and Germany’s DAX rose over 1% on Monday morning. US stock futures also surged, with the Nasdaq Composite gaining nearly 2%. Officials described the talks as “an important first step” toward resolving differences, though specific details remain forthcoming. Gold prices dropped to their lowest level since May 5 as investors favored stocks over safe-haven assets.

The US and China have agreed to temporarily reduce trade tariffs for 90 days while continuing negotiations. US tariffs on Chinese goods will drop from 145% to 30%, while China’s tariffs on US goods will decrease to 10%. Treasury Secretary Scott Bessent announced the deal following talks in Switzerland, describing it as a significant step toward resolving trade tensions between the world’s largest economies. The agreement includes cooperation on addressing the fentanyl crisis.

Gold prices dropped 3% to $3,223.57 per ounce on Monday after the US and China agreed to a 90-day pause on tariffs. The agreement, which includes a 115% reduction in reciprocal tariffs, strengthened the dollar and reduced demand for safe-haven assets like gold. Analysts suggest gold may decline to $3,200/oz in the near term, though central banks might use this price drop as an opportunity to increase their gold holdings.

Shanghai residents raised concerns after a customer discovered dark impurities inside a gold bar purchased from a bank when having it made into jewelry. Despite initial resistance from the bank, which blamed the jeweler and suggested tampering, the matching serial numbers on the gold bar and bank documents confirmed it was the original purchase. Financial regulatory authorities have since become involved, stepping in on Tuesday following the Wednesday incident. The bank, reportedly located in Shanghai’s Nanxiang area, has stated that verification processes are underway. Online commentators have noted the difficulty in distinguishing genuine gold from counterfeits, particularly since materials like...

China’s central bank (PBOC) has authorized commercial banks to purchase foreign currencies specifically for gold imports following an expansion of gold import quotas last month. This strategic move comes as gold prices have rallied amid market volatility caused by President Trump’s trade war, which has also strengthened Asian currencies as investors move away from U.S. dollars. The policy adjustment serves a dual purpose: helping meet increased demand for gold while simultaneously easing the yuan’s appreciation, which has been hurting Chinese exporters already struggling with U.S. import tariffs. Despite gold prices reaching $3,500 per ounce last month, the PBOC has continued...

Global physically-backed gold ETFs experienced significant growth in April, adding $11 billion and extending their inflow streak to five consecutive months. Total assets under management reached a new high of $379 billion, with holdings increasing by 115 tonnes to 3,561 tonnes. Asian markets led this surge, accounting for 65% of global inflows and setting a record with $7.3 billion in new investments, primarily from China. North American investors added $4.5 billion, while European markets saw modest outflows of $807 million. Trading volumes across global gold markets exploded to $441 billion per day, 48% higher than the previous month, with all...

Poland’s central bank (NBP) now holds 509.3 tonnes of gold, surpassing the European Central Bank’s 506.5 tonnes, according to NBP governor Adam Glapiński. This represents a dramatic increase from just 14 tonnes in 1996 and 102 tonnes in 2016, with the pace of acquisition accelerating significantly after 2022. Gold now constitutes 22% of Poland’s total reserves, exceeding the bank’s 20% target. About 20% of this gold is stored in Poland, with the remainder in New York and London, though the bank plans to eventually distribute it equally across all three locations. Glapiński values the gold at €44.3 billion and notes...

China’s central bank (PBoC) has continued its gold buying streak for the sixth consecutive month, adding 70,000 ounces (just over 2 tons) to its reserves in April. However, this represents a declining trend in monthly purchases, down from nearly 3 tons in March, 5 tons in January and February, and over 10 tons in December. Since resuming gold purchases last November, the PBoC has acquired a total of 970,000 ounces (about 30 tons)—significantly less than previous buying sprees when it purchased similar amounts in a single month. Commerzbank analyst Carsten Fritsch suggests this reduced buying interest might be connected to...