Trade Wars, Tariffs And Uncertainty
Kitco Commentaries | Opinions, Ideas and Markets Talk
Featuring views and opinions written by market professionals, not staff journalists.
It’s been one crazy week, with tariffs, trade wars and equity markets breaking down. Gold and silver put their lows in for the week on Tuesday just as the Fed meeting started. They have both rallied hard since, driven higher by the Fed, fear and trade wars.
With gold and silver on major support, the rally was no surprise. Both are still in big consolidation ranges and although the rallies are nice, they mean nothing until they can take out the top end of the range.
This morning commodities are under pressure. Gold and silver are higher, being driven by uncertainty. Equities are also under pressure, but it would be no surprise to see everything reverse from here. Volatility is back; expect wild swings in big consolidation ranges. Until markets break out one way or the other, we will sell the top end and buy the bottom end.