Hello and welcome to our market week preview, where we take a look at the economic data, market news, and headlines likely to have the biggest impact on pricing and market momentum for gold, silver, and platinum, as well as key correlated assets.
Gold Market
Gold prices have broken back below $4500 on Monday morning despite last week’s holiday-shortened run making a case for consolidated support at that level. While the sell-off that preceded the US market open this morning by about an hour was certainly sharp, the yellow metal’s drop has not yet been all that deep. Nearing the day’s halfway mark, gold has stabilized and then rebounded modestly, still trading at roughly $4475/oz. And while a consistent theme since March has been that war and uncertainty in the Middle East is proving more of a headwind (due to growing suspicion that the Fed may hike rates) than a boost (because of the energy- and supply-chain-based inflation), markets still appear to be pricing a geopolitical risk-premium into gold prices, above $4400. Friday’s May Jobs Report is a potential flashpoint for gold at the end of the week. A soft (or softer than expected) NFP number would benefit gold both from a risk-off trading view and by making the potential risks of a rate hike in 2026 harder– at least for the next six weeks– for the FOMC to swallow.
Silver Market
Silver is navigating much rougher waters this week, stuck near $75/oz and having not looked likely at any point to return to the heights of $80 since falling below the same level two and a half weeks ago. In this weakness, the silver market is demonstrating a key factor (and, in this case, a real liability) that is not an issue for gold trading: intrinsic value driven by industrial uses. Following the rally well above $80/oz earlier this year a number of industries that rely on silver as a prefered option (but, critically, not a lone option,) began pivoting away from silver as a cost-saving move and now we’re seeing the effect of lower demand for the metal in manufacturing that typically drive a great deal of silver demand, like the production of photovoltaic solar panels. There is some potential for this decline to be offset by the need for silver in the building of high-quality data centers, but analysts do not currently see this actually flowing through to pricing and supply until closer to 2030.
Platinum Market
Platinum, meanwhile, continues to trade with less volatility than its cousins since the mid-May sell-off that took a considerable bite out of all three. Lacking the direct sensitivity to geopolitical risk that gold has, or the direct pricing relationship with gold that has been an important piece of modeling silver prices, the platinum market continues to consolidate just above $1900/oz. Hello and welcome to our market week preview, where we take a look at the economic data, market news, and headlines likely to have the biggest impact on pricing and market momentum for gold, silver, and platinum, as well as key correlated assets.
Gold Market
Gold prices have broken back below $4500 on Monday morning despite last week’s holiday-shortened run making a case for consolidated support at that level. While the sell-off that preceded the US market open this morning by about an hour was certainly sharp, the yellow metal’s drop has not yet been all that deep. Nearing the day’s halfway mark, gold has stabilized and then rebounded modestly, still trading at roughly $4475/oz. And while a consistent theme since March has been that war and uncertainty in the Middle East is proving more of a headwind (due to growing suspicion that the Fed may hike rates) than a boost (because of the energy- and supply-chain-based inflation), markets still appear to be pricing a geopolitical risk-premium into gold prices, above $4400. Friday’s May Jobs Report is a potential flashpoint for gold at the end of the week. A soft (or softer than expected) NFP number would benefit gold both from a risk-off trading view and by making the potential risks of a rate hike in 2026 harder– at least for the next six weeks– for the FOMC to swallow.
Silver Market
Silver is navigating much rougher waters this week, stuck near $75/oz and having not looked likely at any point to return to the heights of $80 since falling below the same level two and a half weeks ago. In this weakness, the silver market is demonstrating a key factor (and, in this case, a real liability) that is not an issue for gold trading: intrinsic value driven by industrial uses. Following the rally well above $80/oz earlier this year a number of industries that rely on silver as a prefered option (but, critically, not a lone option,) began pivoting away from silver as a cost-saving move and now we’re seeing the effect of lower demand for the metal in manufacturing that typically drive a great deal of silver demand, like the production of photovoltaic solar panels. There is some potential for this decline to be offset by the need for silver in the building of high-quality data centers, but analysts do not currently see this actually flowing through to pricing and supply until closer to 2030.
Platinum Market
Platinum, meanwhile, continues to trade with less volatility than its cousins since the mid-May sell-off that took a considerable bite out of all three. Lacking the direct sensitivity to geopolitical risk that gold has, or the direct pricing relationship with gold that has been an important piece of modeling silver prices, the platinum market continues to consolidate just above $1900/oz.
