Precious Metals in a holding period awaiting trade war news

Links to recent informative articles on precious metals and rare coins:

U.S. Trade Deficit Rises to Near 9½ -Year high

World Top 20 Gold Producing Nations in 2017

Gold Imports Rise 19% in Financial Year 2017-18

U.S. Fiscal Future Won’t Be Like its Carefree Past

This Week’s Headlines:

Gold
Silver
It’s IRA investing time, we offer Precious Metal IRAs
Recommended investment commitment and diversification

GOLD

Last week, all global financial markets were influenced by announcements coming from the White House and China regarding upcoming trade tariffs. Last Wednesday, President Trump threatened to slap $100 billion worth of new trade tariffs on Chinese goods. Gold initially rallied but closed near the low of the day, down $11 per ounce. The Dow Jones did the exact opposite, first dropping almost 400 points, then rallying 600 points. Market analysts felt the threat was just positioning to move the negotiations with the Chinese.

Before the markets opened on Friday, China warned it was fully prepared to respond with a "fierce counter strike" of fresh trade tariffs on U.S. imports. Then Trump upped the ante, ordering U.S. officials to identify extra tariffs, escalating the rhetoric and causing Gold to rally $7 per ounce and the Dow Jones to drop over 500 points. Some economists feel that China, who had already unveiled a list of 106 tariffs on U.S. goods, which included soybeans, whiskey, frozen beef and aircraft, could announce more trade tariffs. Those tariffs would likely be focused on President Trump’s base of supporters. More agricultural products from mid-western states, which are heavily imported by China, are highly likely to suffer increased tariffs.

If that happens, Trump is likely to demand up to $50 billion in extra duties targeting Chinese governmental polices designed to transfer U.S. intellectual property. These properties are from key high-technology industries. Globally, the thought of a trade war between the world’s two biggest economies is causing renewed interest in owning non-U.S. precious metal physical investment products. 24 karat Gold Canadian Maple Leafs and Chinese Pandas, bars and 24 karat jewelry are showing sharp increases.

U.S. minted Gold Eagle sales fell sharply in March to the lowest level in 11 years, a remarkable decline of 83% from 2017. Domestically, Gold bullion buyers are focusing their interest on Pre-1934 Gold coins from Europe and the United States.

Today: Gold is trading today in a very narrow $7 high/low trading range, between $1,334 and $1,327 per ounce. With the U.S. Dollar and interest rates hardly moving, the precious metals are treading water, waiting for a direction.

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SILVER

Last week, Silver closed at $16.33 per ounce on Friday, up $0.09 for the week, but still down $0.70 per ounce since the beginning of 2018. Over the weekend and in early morning Asian and Middle Eastern markets, Silver showed increased physical product demand, rallying $0.10 per ounce. Silver has increased the Silver/Gold ratio to 81.66-to-1.

Today: Silver is also stuck in a narrow price range between $16.30 and $16.50 per ounce.

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It’s IRA investing time, we offer Precious Metal IRAs

Our company has a relationship with New Direction IRA. New Direction IRA is professional at setting up Precious Metal IRAs, arranging storage, and acting as the Trustee. If you would like to learn about Precious Metal IRAs and how to set one up, contact Stuppler & Company IRA department at 888-454-0444.

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Recommended Investment Commitment and Diversification:

Precious Metal commitment: Minimum of 30% of investment capital

Diversification:  Gold 55%, Silver 35%, Platinum & Palladium 10%

Diversification includes 50% in long term investment quality rare coins and 50% short term bullion products.

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If you want to be updated on what is happening in the Gold, Silver, and Rare Coin markets any weekday, our company offers a daily blog Monday through Friday at www.stupplerblog.com

All statements, opinions, pricing, and ideas herein are believed to be reliable, truthful and accurate to the best of the Stuppler & Company’s knowledge at this time.  Stuppler & Company disclaims and is not liable for any claims or losses which may be incurred by third parties while relying on information published herein.  Individuals should not look at this publication as giving finance or investment advice or information for their individual suitability.  All readers are advised to independently verify all representations made herein or by its representatives for your individual suitability before making your investment or collecting decisions.

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