Gold & Silver Test Support After Fed News

GOLD

Gold traded yesterday between $3,645 and $3,708 after the release of the Federal Reserve press release and Fed Chairman Powell’s press conference.
The Fed has lowered the Fed Fund rate range by ¼ percent to 4% and 4.25%. In the press release, it showed that most of the Fed Governors were in favor of 2 more rate cuts this year.
Gold spiked on the original news, then saw profit-taking as trading continued. In overnight trading, Gold reached a low of $3,631 before seeing heavy demand.

At 11 am PT today, gold is trading at $3,644 per ounce, down $48 on high volume.

SILVER

Silver followed gold lower this morning, reaching a low of $41.11 per ounce before seeing short-covering and fresh buying.
Getting back above the $42 level is important to the short-term direction of the silver price, and I expect to see that by next week.

At 11 am PT today, silver is down $0.35 per ounce, trading at $41.75 on excellent volume.