$GLD and $SLV Prices as of December 3 2018 @moneymetals

8:36 AM


December 03, 2018 -- Jerome Powell made some dovish remarks last week, hinting that the Federal Reserve’s series of rate hikes is near its end. The dollar weakened and metals moved temporarily higher.

But by Friday, the dollar was back on the rise. Gold and silver prices fell in response.

Then, news over the weekend of a moratorium on slapping new tariffs on Chinese goods has boosted many markets this morning, including stocks, commodities, and precious metals.

The consensus for a rate increase when the FOMC meets again in a little over two weeks remains firm, but there is far less certainty about what to expect in 2019.

Much will depend on how markets are behaving. The 10% drop in stock prices over the past two months has Powell changing his tune.

The central bank has claimed extraordinary powers to intervene in markets and officials there may not have much tolerance for economic pain or pressure from President Donald Trump. Should the equity markets drop an additional 10% in the months ahead, we’d bet on the FOMC to sound the retreat and turn the stimulus back on.



Check out live precious metals prices here:
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