← Back to All Videos

A-Mark’s Bullion Update

Blog Oct 31, 2014

A-Mark-Precious-Metals-IncYesterday’s Federal Open Market Committee did not do many favors for the precious metals.  The hawkish commentary by the Federal Reserve included the declaration that asset purchases and quantitative easing will cease at the end of October.  While this wasn’t a surprise, it was strong enough wording to rattle the markets and open the doorway for new policy moving forward.   The Fed upgraded its assessment of the job market’s performance while indicating that short-term interest rates will remain near zero for a “considerable time”.  The end of QE and the prospect of a shorter timeline for the first interest rate rise since the financial crisis sent gold and silver plunging lower in yesterday’s afternoon session.   Gold will struggle to make new highs in an environment where it has to compete with yield-bearing financial instruments.

Data this morning showed that the US economy grew by 3.5% in the third quarter, beating the estimates of 3.0%.  The USD and stocks rallied while gold and silver succumbed to further liquidation.  Evidence of the US economy improving tarnishes the safe haven appeal of gold.

Gold has now traded lower in six of the last seven trading sessions.  It closed below $1,200 today and looks poised to test the next major support of $1,180, a triple bottom and the low from the last four plus years.  Silver collapsed nearly 5% today and had its lowest close in over four and a half years.  The momentum is clearly down right now and there is really no major support until the psychological figure of $15.

Thumbnail Photo We believe that everyone deserves a properly developed strategy for financial safety.

Lynette Zang

Chief Market Analyst, ITM Trading

Sources & References In This Article

Tags

Similar Posts

Blog Jan 3, 2024

The Great Taking: Understanding the Shift in Global Debt | A Deep Dive into Financial Collateral

Learn More
Blog Dec 19, 2023

Is the U.S. Dollar in Crisis? Exploring Currency Markets, Inflation, and Bank Downgrades

Learn More
Blog Dec 8, 2023

From Treasury Outflows to Inflation and Consumer Anxiety, how far will it go?

Learn More
Blog Dec 8, 2023

Your Safety Is Not Their Concern

Learn More
Blog Sep 29, 2022

What’s Driving Energy Prices Up? Will the Crisis be worse than the 1970s?

Learn More
Blog Sep 15, 2022

Underneath the Surface: Recession or DEPRESSION?

Learn More
Blog Jan 9, 2020

REAL OR FAKE GOLD, BIG VS SMALL BANK DEPOSITS… Q&A with Lynette Zang and Eric Griffin

Learn More
Blog Nov 28, 2018

ENTERING THE MINEFIELD: Is Your Armor Ready? By Lynette Zang

Learn More

Not Sure What Works for You?

Our team has over a century of combined experience in guiding our customers to the best products is for their wealth protection and preservation goals. Call us today.

888-696-4653
or schedule a call

Schedule A Strategy Session

Get Your Free Protection Guide

Stay Informed

Receive the latest updates regarding the economy.

Send this to a friend