Gold and Silver Industry & Investing News

The housing market is experiencing significant disruption with over 41,000 U.S. home-purchase agreements falling through in January, representing 14.3% of homes under contract – the highest cancellation rate for this season on record. This shift is driven by three key factors: First, housing inventory has reached its highest level since 2020 while pending sales hit record lows, giving buyers leverage to back out during inspections when better options appear. Second, economic uncertainty from tariffs, layoffs, and policy changes is causing hesitation among both buyers and sellers. Third, the combination of high mortgage rates (which hit an eight-month high of 6.96%...

Inflation rose 2.5% in January according to the PCE index, which is the measurement the Federal Reserve watches most closely. This matched what economists expected. While inflation has fallen significantly from its 9% peak in mid-2022, it’s still higher than the Fed’s 2% goal. Another inflation measure, the Consumer Price Index, showed prices rising at 3% in January. Economists note that these persistent inflation figures validate the Federal Reserve’s decision in January to hold off on further interest rate cuts. Consumer sentiment is deteriorating amid these economic pressures, with a CBS News poll revealing most Americans feel their incomes aren’t...

Despite the recent price pullback, Goldman Sachs has raised its gold price forecast to $3,100 per troy ounce by the end of 2025, representing an 8% increase from current levels. This bullish outlook is driven primarily by strong central bank demand, as countries have been increasing their gold reserves since Russian assets were frozen in 2022. Additional support will come from growing interest in gold ETFs as interest rates decline, though a potential reduction in speculative positions may partially offset these gains. Under a scenario of continued global uncertainty, prices could climb even higher to $3,300.

Gold demand in India has begun to improve this week as prices retreated from record highs, though many buyers remain cautious. Dealers reduced discounts to $12-$27 per ounce from last week’s $35. Meanwhile, Chinese gold imports via Hong Kong fell significantly in January, hitting their lowest level since April 2022. India’s February gold imports are projected to plummet 85% year-over-year to a 20-year low, with tightening supplies as banks have barely imported any gold this month.

Gold prices have fallen for the first weekly loss of 2025, trading near $2,860 an ounce after hitting a record high of $2,956.19 earlier this week. President Trump’s announcement of impending tariffs on Canada, Mexico, and additional levies on China has strengthened the US dollar, making gold less attractive to foreign investors. While concerns about inflation, trade tensions, and geopolitical uncertainty continue to support gold’s status as a safe haven, these factors have been overshadowed this week by profit-taking and dollar strength. Investors are now looking to the Fed’s preferred inflation gauge—the core PCE price index—for clues about future monetary...

President Trump has proposed a “gold card” program offering permanent U.S. residency to wealthy foreign individuals and companies willing to pay $5 million. Trump claims selling a million cards could generate $5 trillion toward reducing the national debt. The plan would replace or supplement the existing EB-5 program, which currently grants green cards for investments of $800,000 to $1.1 million. Immigration experts have expressed mixed reactions – attorney Reaz Jafri reports immediate interest from clients but doubts the program will attract enough participants to meaningfully reduce the national debt. Armand Arton of Arton Capital called it a “fantastic initiative” but...

Richmond Fed President Tom Barkin warned that interest rates might need to go up, not down, to fight inflation. Speaking to a local club in Virginia, he explained that several economic shifts could make inflation harder to control in the future. For years, certain factors helped keep prices stable, but now the economy faces “headwinds” from problems with global supply chains, fewer working-age Americans, and higher government spending on aging populations and defense. While these challenges aren’t certain, Barkin believes the Fed should be careful about cutting rates too quickly. He reminded listeners about the 1970s, when the Fed eased...

On Wednesday, the 10-year Treasury yield dropped below the 3-month yield, creating an “inverted yield curve”—a phenomenon with a strong historical track record of forecasting economic downturns within 12-18 months. The New York Fed monitors this relationship closely, even publishing monthly updates with recession probability estimates. At January’s end, that probability was just 23%, but February’s dramatic yield relationship shift will likely increase these odds. This inversion typically occurs when investors anticipate the Fed will need to cut short-term rates to counter future economic weakness. While the previous inversion in October 2022 hasn’t resulted in a recession after 2½ years,...

Goldman Sachs analysts are forecasting a potential boom for the US dollar that could undermine BRICS’ efforts to reduce dollar dependence. According to strategists Karen Reichgott Fishman and Lexi Kanter, the tariffs expected under Trump’s administration may strengthen the dollar, making long positions on USD particularly attractive for investors. While these protectionist policies could drive inflation, they’re also likely to support US yields, further enhancing the dollar’s appeal. BRICS member nations, which have been actively working to challenge the dollar’s reserve currency status, now face significant headwinds as their local currencies continue to weaken against the USD. The report suggests...