Please Follow us on Gab, Minds, Telegram, Rumble, GETTR, Truth Social, Twitter
Yesterday, gold dropped $62.20 an ounce and silver dropped $1.35 an ounce. As of this writing, gold has bounced back over $30 per ounce and has rebounded above its 50-day moving average and continues to be well above its 200-day moving average. Both averages are what money managers and professional traders follow.
Silver has not bounced back and is down five cents per ounce this morning and is between its 50-day moving average and its 200-day moving average. Silver has always been more volatile and speculative than gold. I believe silver will resume its uptrend and for those who are silver bulls this may be an opportunity to initiate a position or add to a current position.
The decline in the metals yesterday was precipitated by a stronger than expected second quarter GDP number and a stronger than expected durable goods number for June.
This morning the Personal Consumption Expenditures (PCE) number for June showed a .1% increase and a year-over-year increase of 2.5% getting closer to the Fed’s 2% inflation target. The PCE is the Fed’s favorite inflation gauge. These numbers buoyed gold.
Subscribe to our evening newsletter to stay informed during these challenging times!!
