Gold and Silver Industry & Investing News

Copper prices are surging as traders rush to ship metal to the US before potential import tariffs take effect. The scramble has drained global inventories by nearly 80% this year, creating severe shortages that are driving up costs for buyers. Goldman Sachs warns the situation will worsen before September, when tariff decisions are expected. The shortage is causing major price spikes, with some copper contracts trading at their highest premiums in four years.

Gold mining stocks pulled back Friday after a strong 2024 rally. Newmont fell 2.2% in premarket trading—the S&P 500’s worst performer—as gold prices dropped 1.5% to $3,296.40 per ounce. Gold hit a record high on June 13 during global trade tensions but has since fallen 4.5% as investors shifted back to riskier assets. Despite Friday’s decline, Newmont remains up 59% year-to-date, highlighting how mining stocks closely follow gold’s volatile price swings.

U.S. Treasury yields edged higher following stronger-than-expected inflation data. The 10-year yield held steady at 4.253%, while the 2-year yield rose 2 basis points to 3.732%. Core inflation, which excludes food and energy, climbed to 2.7% in May—higher than the 2.6% economists predicted and up from April’s 2.5%. The inflation surprise comes as President Trump escalates tensions with Fed Chairman Jerome Powell, criticizing the Fed’s cautious stance on interest rates amid tariff uncertainty. Trump claims to have a shortlist of replacements and may announce Powell’s successor as early as September, well before Powell’s term expires in 2026.

Gold prices dropped over 1% on Friday to their lowest level in nearly a month, falling to $3,282.68 per ounce. The decline was driven by easing global tensions, including the Iran-Israel ceasefire and progress on U.S.-China trade discussions. Gold has lost more than 2% this week and fallen over $200 from its April record high. Investors are now watching for U.S. inflation data that could influence future interest rate decisions. Other precious metals also declined, with platinum falling nearly 6% after recently hitting its highest level since 2014.

President Trump announced he has narrowed down his list to “three or four” candidates to replace Federal Reserve Chair Jerome Powell when his term expires in May 2026. Speaking at a NATO summit press conference, Trump called Powell “terrible” and expressed eagerness for his departure. Despite previous speculation about firing Powell early, Trump has stated he has “no intention” of doing so, though he continues to hint at the possibility. The two remain at odds over interest rate policy, with Powell recently suggesting rates will stay steady to combat potential inflation from Trump’s tariffs.

Germany and Italy are under pressure to bring home $245 billion worth of gold currently stored in US Federal Reserve vaults. European politicians and taxpayer groups worry that President Trump’s criticism of the Federal Reserve could threaten their gold’s safety. Germany has about 1,200 tonnes (one-third of its reserves) in New York, while Italy stores 43% of its gold there. Critics argue that keeping gold in America under the current political climate poses unnecessary risks to European financial sovereignty.

Platinum hit $1,400.75 per ounce—its highest price in over 10 years—driven by supply shortages and speculative buying. The London and Zurich markets are extremely tight, with borrowing costs spiking to 13% annually (versus near-zero normally). Chinese investors and jewelry buyers are fueling demand, while palladium rose 5% alongside platinum since both metals can substitute for each other in automotive catalysts.

New applications for unemployment benefits fell to their lowest level in six weeks, providing reassurance that the U.S. job market remains stable despite economic headwinds. The drop of 10,000 claims to 227,000 suggests employers are reluctant to cut staff, even as trade wars create uncertainty. The decline was widespread, with 38 states reporting fewer claims, particularly those that had seen spikes after schools let out for summer. However, there are some concerns: the number of people receiving ongoing benefits reached 1.97 million, the highest since late 2021, indicating job seekers are taking longer to find work. While economists expect slower...

US markets showed mixed reactions Thursday as stocks and bonds rose while the dollar weakened. The moves came after disappointing economic data showed the trade deficit widening unexpectedly and first-quarter GDP contracting by 0.5%. Adding to market volatility, reports emerged that President Trump is considering naming a new Federal Reserve Chair months before Jerome Powell’s term ends, potentially as early as September or October.