Hawkish Fed statements cause Gold to dip

GOLD

Our new Federal Reserve Chairman, Jerome Powell, has been testifying to the U.S. House of Representatives this morning. He stated that the U.S. economy has strengthened since December, and that inflationary pressures are not problematic. His statements are considered to be hawkish on U.S. monetary policy and the U.S. Dollar rallied sharply, with the index breaking back above the 90 level. Gold and Silver fell quickly and sharply on his statements with Gold reaching a low of $1,313 before bargain buyers stepped in. At 11am PST today, Gold is trading at $1,318 per ounce, down $13 on excellent volume.

SILVER

Silver got beat down to $16.29 per ounce after Chairman Powell’s economic statements. Excellent demand helped move the Silver price back above $16.40 level. At 11am PST today, Silver is down $0.14 per ounce, trading at $16.44 on excellent volume.