Gold and Silver drop sharply, then partially rebound – Commerzbank
Significant Swings in Gold and Silver Prices
Gold and Silver experienced steep declines yesterday, with Gold nearing $4,400 per ounce and Silver momentarily dropping below $74. Both metals later rebounded, reflecting ongoing volatility and increased short-term uncertainty in the market, according to Carsten Fritsch, a commodities analyst at Commerzbank.
Upcoming US Employment Data Could Shift Precious Metals
"Yesterday saw a sharp drop in Gold and Silver prices, with Gold approaching $4,400 per troy ounce and Silver briefly slipping under $74. Despite these losses, both metals have since regained ground. The recent period has been characterized by pronounced price swings, which may signal uncertainty regarding the near-term direction of these assets."
"Rising prices have prompted some investors to take profits, while declines have attracted buyers. Today, the release of US employment figures could become a key driver for the market, especially as expectations for interest rate cuts have diminished recently. Current Fed Funds Futures suggest less than a 50% chance of a 25 basis point cut by March. Should the data disappoint, rate cut expectations might increase once more, potentially boosting Gold and Silver."
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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