November 19, 2018 -- Precious metals markets enter trading Monday with a slight upside bias. Last week’s move higher gave gold and silver a bit of breathing room above some psychologically important levels – $1,200/oz gold and $14/oz silver. Now the question is whether or not metals can build on that little bit of momentum.

Between here and year end, the stock market performance and the Fed are likely to be key drivers.

The bull case scenario for metals would be for stocks to sell off hard enough to inspire some safe-haven buying and then for the Fed to ride to the rescue by cancelling its telegraphed interest rate hike.

Alternatively, if stocks stabilize or start moving higher and the Fed manages another boost in rates without much repercussion, gold and silver prices are more likely to flounder.

The central planners on the Federal Open Market Committee may find the latter scenario very hard to pull off. Officials there have finally run into significant resistance to their effort to “normalize” rates. The S&P 500 has given up nearly all of its gains for the year and higher mortgage rates are beginning to weigh on the real estate markets.



Check out live precious metals prices here:
https://goo.gl/gy5XMA