Gold and silver prices are on the rise following the Federal Reserve’s latest statement that left U.S. interest rates unchanged. June gold is up $13.00 at $2,315.70, while July silver is up $0.231 at $26.88.
The statement indicated a lack of progress towards the Fed’s inflation target of 2% annually, and the Fed is committed to returning inflation to that level before any rate cuts. Many expected a more hawkish tone, but the statement seems to have reassured gold and silver market bulls.
Traders and investors are now looking to Fed Chair Jerome Powell’s press conference for further insights. Recent warmer U.S. inflation data has led many to rethink their expectations for interest rate cuts this year, with some even predicting a potential rate hike.
In addition, the upcoming April U.S. jobs report will be closely watched, with expectations for a rise in non-farm jobs following a strong March report.
The U.S dollar index is lower, while Nymex crude oil prices hit a six-week low. The yield on the 10-year U.S. Treasury note is around 4.65%.
Technical analysis shows that while gold and silver bulls have the near-term advantage, they are facing resistance levels. Copper prices closed lower but remain in an uptrend, with solid support and resistance levels.
Overall, the market remains active and investors are closely monitoring economic indicators and Fed statements for further direction.
