(Kitco News) - Gold and silver prices are strongly higher Thursday morning, with both powering to all-time highs of $5,626.80, basis April Comex futures, and silver hitting $120.565, basis March Comex futures. The precious metals are supported by safe-haven demand amid heightened geopolitical concerns, and as the U.S. dollar index wobbles. April gold was last up $229.30 at $5,569.50. March silver prices were up $6.106 at $119.67.
Trump warns Iran to make nuclear deal, or else. President Trump warned Iran to make a nuclear deal with the U.S. or face military strikes far worse than the attack he ordered last June, increasing pressure on the regime and propelling crude oil prices higher. In a social-media post late Wednesday, Trump said the fleet of U.S. ships he’d ordered to the region, led by the USS Abraham Lincoln aircraft carrier, is “ready, willing, and able to rapidly fulfill its mission, with speed and violence, if necessary,” Bloomberg reported. “Hopefully Iran will quickly ‘Come to the Table’ and negotiate a fair and equitable deal - NO NUCLEAR WEAPONS - one that is good for all parties,” Trump wrote. In response, Iran said it stands ready for dialogue based on mutual respect and interests but warned that “IF PUSHED, IT WILL DEFEND ITSELF AND RESPOND LIKE NEVER BEFORE,” the country’s mission to the United Nations said in a post on X. Trump has repeatedly warned Iran that the U.S. might launch another attack, but those threats have recently been linked to Tehran’s deadly crackdown on protests rather than its atomic activities. The heightened geopolitical tensions pushed crude oil prices to a six-month high, while safe-haven demand pushed gold and silver prices to all-time highs overnight.
Key takeaways from FOMC meeting… Following are the key factors coming out of this week’s FOMC meeting, according to Bloomberg:
• Federal Open Market Committee votes 10-2 to leave its benchmark interest rate in a target range of 3.5%-3.75%
• Fed Governors Christopher Waller and Stephen Miran voted against the decision in favor of lowering rates by a quarter-point
• Fed removes language from statement that had noted “downside risks to employment rose in recent months”
• Fed upgrades view of economy to say available indicators suggest economic activity “has been expanding at a solid pace,” and repeats inflation “remains somewhat elevated”
• Fed tweaks description of the labor market, noting “job gains have remained low” and the jobless rate has “shown some signs of stabilization”
Senate Democrats, Trump administration officials talking to avoid another U.S. government shutdown. Talks between top U.S. Senate Democrats and the Trump administration aimed at averting a federal government shutdown have moved closer to Democrats’ demands, according to a person familiar with the negotiations and as reported by Bloomberg. No deal has yet been reached, the person said late Wednesday night. Without an agreement, government funding will lapse on Saturday for much of the federal government, including the Departments of Defense and Health and Human Services. Senate Democratic Leader Chuck Schumer has insisted Republicans agree to remove long-term Homeland Security funding from a massive spending bill to keep the government open past Friday. Some senators in both parties have said they could support a short-term stopgap measure for Homeland Security funding to give both sides more time to discuss potential restrictions on immigration enforcement operations. The Senate is set to hold the first procedural vote on the spending package this morning. Any single senator could trigger a brief government shutdown through procedural action, Bloomberg said.
U.S. dollar index still wobbly despite Bessent touting strong greenback. The U.S. dollar index traded slightly down overnight and quickly lost traction from comments by U.S. Treasury Secretary Scott Bessent saying the Trump administration supports a stronger U.S. currency. The USDX earlier this week dropped to a four-year low when President Trump said he was comfortable with the depreciation of the U.S. dollar because it is good for U.S. businesses. Bessent, speaking in an interview with CNBC Wednesday, said “the U.S. always has a strong dollar policy.” He also said the U.S. was “absolutely not” intervening in the Japanese currency market, rejecting speculation that had been building since Friday.
Copper prices surge to record high. Copper prices rose by the most in more than 16 years as metals extended a dramatic start to the year fueled by a wave of intense speculative trading in China, Bloomberg reports. “Chinese investors are piling into metals as they ride a powerful wave of momentum that has lifted everything from tin to silver to record highs. The surge in copper took place at a time of day when Chinese traders dominate flows, with prices on the London Metal Exchange rising more than 5% in less than an hour starting at 2.30 a.m. London time. ‘This is all driven by speculative funds,’ said Yan Weijun, head of nonferrous metals research at Chinese trader Xiamen C&D Inc. ‘It’s likely all Chinese money given the surge is in Asian hours,’ ” said the Bloomberg report. Prices Thursday gained as much as 7.9% to trade above $14,000 a ton for the first time ever. The red industrial metal, which is used in almost every electrical application, has risen 25% since the start of December.
U.S., Denmark, Greenland officials start discussions. U.S., Danish and Greenlandic officials met Wednesday to discuss a new framework deal over Greenland amid the U.S. desire to see a greater American presence on the Arctic island. The senior officials met to “discuss how we can address U.S. concerns about security in the Arctic while respecting the red lines of the Kingdom,” said Oliver Routhe Skov, the spokesman for Denmark’s embassy to the U.S. and as reported by Bloomberg. The negotiations follow President Trump’s announcement last week of a “framework of a future deal,” in which he pledged to refrain from imposing tariffs on European nations opposing his effort to take possession of Greenland. Secretary of State Marco Rubio earlier Wednesday told lawmakers on the Senate Foreign Relations Committee that “we’re in a good place right now” on Greenland.
India’s gold imports are expected to fall this year as record prices crimp demand for jewelry, Bloomberg reports. Bullion imports may decline to between 600 and 700 tons in 2026, after dropping 11% to 710.9 tons in 2025. Global jewelry consumption volumes slumped to a five-year low of 1,542 tons in 2025, with Indian jewelry demand dropping 24% to 430.5 tons.
The key outside markets today see crude oil prices up, at a six-month high and trading around $64.75 a barrel. The U.S. dollar index is slightly weaker and the U.S. 10-year Treasury note yield is presently 4.253%.
Note: The gold market operates through two primary pricing mechanisms. The first is the spot market, which quotes prices for on-the-spot purchase and immediate delivery. The second is the futures market, which sets prices for delivery at a future date. Due to year-end positioning market liquidity, the December gold futures contract is currently the most actively traded on the CME.
Technically, April gold futures bulls’ next upside price objective is to produce a close above solid resistance at $6,000.00. Bears' next near-term downside price objective is pushing futures prices below solid technical support at $5,000.00. First resistance is seen at the record high of $5,626.80 and then at $5,700.00. First support is seen at $5,500.00 and then at the overnight low of $5,449.40. Wyckoff's Market Rating: 10.0.
March silver futures bulls’ next upside price objective is closing prices above solid technical resistance at $125.00. The next downside price objective for the bears is closing prices below solid support at $100.00. First resistance is seen at the overnight record high of $120.565 and then at $122.50. Next support is seen at the overnight low of $115.245 and then at $112.50. Wyckoff's Market Rating: 10.0.
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