Gold and Silver Industry & Investing News

The U.S. dollar remained near multi-week lows as traders increasingly bet on a Federal Reserve rate cut in September, with markets now viewing it as a near certainty. The Japanese yen strengthened against the dollar after Treasury Secretary Scott Bessent suggested the Bank of Japan needs to raise rates while advocating for aggressive Fed cuts. Bessent called for a “series of rate cuts” and even suggested the Fed could start with a half-point reduction, though analysts view this as unlikely without broader Fed support.

Kansas City Fed President Jeffrey Schmid defended the Federal Reserve’s decision to maintain interest rates at their current 4.25%-4.5% range, calling the modestly restrictive stance “exactly where we want to be.” Speaking amid ongoing inflation concerns, Schmid noted that while monetary policy is restrictive, it’s not overly so, citing record-high stock prices and near-record-low bond spreads as evidence. With July’s consumer price index at 2.7%—above the Fed’s 2% target—and the economy showing solid growth, Schmid argues against rate cuts. He acknowledged the complexity of measuring tariff impacts on inflation, stating it’s unlikely there will be clarity in the near term...

Social Security beneficiaries could receive a 2.7% cost-of-living adjustment (COLA) in 2026, slightly higher than this year’s 2.5% increase, according to a new estimate from the Senior Citizens League. The Social Security Administration will announce the official adjustment in October based on inflation data from July through September, with the increase taking effect in January 2026. Despite the projected boost, some economists worry it may not be sufficient if inflation rises due to tariffs, with predictions that inflation could reach 3.7% by mid-2026.

Switzerland’s gold industry has expressed skepticism about Swatch CEO Nick Hayek’s proposal to impose a 39% export tax on gold bars shipped to the United States. Hayek suggested the retaliatory measure after President Trump imposed 39% tariffs on Swiss goods, though Trump later clarified gold would not face tariffs. The Swiss Association of Manufacturers and Traders in Precious Metals warned that such an export tax would harm Switzerland economically and damage its reputation as a free trade advocate. Switzerland continues diplomatic talks to lower U.S. tariffs.

Despite a cooler-than-expected Consumer Price Index report, major Wall Street economists agree that higher inflation is coming due to tariffs. Goldman Sachs, UBS, and JPMorgan Chase predict that tariffs will push up consumer prices, with Goldman estimating consumers will bear about two-thirds of tariff costs by fall. President Trump criticized Goldman Sachs for this prediction, even suggesting CEO David Solomon should “focus on being a DJ” instead. JPMorgan’s chief economist estimates tariffs could add 1-1.5% to inflation, with some impact already visible.

The United States announced plans to explore cooperation with Pakistan in critical minerals and hydrocarbons sectors. Secretary of State Marco Rubio made the announcement in a statement commemorating Pakistan’s Independence Day, emphasizing new economic partnerships. Pakistan’s Commerce Minister has offered U.S. businesses investment opportunities in mining projects, particularly in Balochistan province, home to the massive Reko Diq gold and copper mine operated by Barrick Gold. The move follows a recent trade deal between the two nations that promises lower tariffs and increased investment.

Gold prices maintained modest gains after U.S. Treasury Secretary Scott Bessent urged the Federal Reserve to cut interest rates by at least 1.5 percentage points. The precious metal rose as much as 0.6% before settling near $3,365 per ounce. Lower interest rates typically benefit gold since it doesn’t pay interest, making it more attractive when yields fall. Gold has gained 28% this year, driven by geopolitical tensions and central bank purchases.

Gold continues its impressive rally in 2025, rising over 25% and heading for a third straight year of double-digit gains—a performance streak unseen since the mid-2000s. The precious metal has broken from traditional patterns, ignoring typical drivers like real yields and dollar strength. Instead, geopolitical tensions, trade protectionism, and central bank buying—particularly from China and other emerging economies seeking to diversify from the dollar—have fueled demand. While gold lacks intrinsic valuation metrics and faces potential headwinds from higher interest rates and cryptocurrency competition, Rothschild & Co maintains a strategic overweight position. They view gold as a crucial portfolio diversifier and...

Financial markets are unusually calm, with volatility measures for stocks, bonds, and currencies all hitting yearly lows. The VIX “fear gauge” has dropped to its lowest level since December, while Treasury volatility is at early-2022 lows. This calm seems surprising given ongoing risks: geopolitical tensions, sticky inflation, and Trump’s Fed criticism. But experts cite three key reasons for the low volatility: – large cash reserves ready to buy any dips – a stronger-than-expected economy avoiding recession – and investors betting Trump will back down from extreme threats (his typical pattern) With the S&P 500 hitting new records and inflation improving,...