Spot gold stayed largely steady while spot silver advanced sharply into late‑Thursday US trade. Rising crude‑oil prices and rebounding US Treasury yields weighed on equities yet did not fully erase Wednesday’s breakout move across precious metals. At settlement, spot gold stood at $4518.84 per ounce, down 0.09% intraday; spot silver settled at $68.075 per ounce, gaining 1.61% after touching an intraday high of $68.983. #GoldMarketClose#
(Image source: FX168)
US Equities Under Pressure
North American stock markets closed broadly lower as bond‑market relief stemming from Wednesday’s US Treasury repurchase plan faded. The S&P 500 fell 66.82 points or 0.9% to 7641.16; the Dow Jones Industrial Average dropped 703.84 points or 1.3% to 52759.21; the Nasdaq Composite lost 263.92 points or 1.0% to 26067.17; the Russell 2000 declined 40.51 points or 1.3% to 2992.43.
European markets finished mixed with a soft overall tone. The STOXX Europe 600 slipped 0.12% to 650.35; Germany’s DAX fell 0.42% to 25983.04; France’s CAC 40 lost 0.57% to 8453.09. Britain’s FTSE 100 edged up 0.04% to 10748.16; Italy’s FTSE MIB rose 0.09% to 52665.82.
Strong Economic Data Alongside Bond‑Market Pressures
Two opposing forces continue to drive market pricing: peRSIstent strength in US economic data and ongoing bond‑market stress. US initial jobless claims for the week ending August 15 dropped to 206,000, below market expectations of 210,000, while continuing claims climbed to nearly 1.8 million.
The Philadelphia Fed Manufacturing Index rose to 47.4 in August, well above July’s 41.4 and consensus forecasts, signalling solid regional factory activity. One day prior, Fed meeting minutes revealed deepening inflation concerns among policymakers, with some officials leaning toward rate hikes. The Fed ultimately voted 9‑3 to keep its target rate range at 3.50%‑3.75%.
As a result, the 10‑year US Treasury yield moved back near 4.69% and the 30‑year yield climbed to roughly 5.23%. Gold continues to draw support from geopolitical risk and dollar weakness, yet rising long‑end yields cap upside for the non‑yielding asset. Traders now look ahead to Friday’s preliminary PMI figures to gauge whether economic activity will keep September’s Fed decision in play.
Silver Leads Precious Metals Higher
Within precious‑metal complex, silver delivered the standout performance. It held the $66.55 breakout level highlighted in recent technical analysis and touched $69.11 intraday, extending gains even as gold stalled around $4500. By comparison, gold remains above the former resistance at $4447, now a key support, though its pullback from the intraday peak of $4541.70 shows buying remains sensitive to higher yields.
This divergence signals silver carries stronger near‑term momentum, while gold is more directly influenced by rate movements. Should long‑end yields keep advancing, gold’s rally may be more eASIly suppressed, whereas silver enjoys relatively greater short‑term elasticity supported by post‑breakout technical buying.
Strait of Hormuz Risks Return to Spotlight
The Strait of Hormuz remains a critical geopolitical channel shaping crude‑oil prices, inflation expectations and safe‑haven demand. Washington prepares fresh economic‑isolation measures targeting Iran while US‑Iran negotiations stay deadlocked. Markets keep pricing uncertainty over when tankers may sail freely out of the PeRSIan Gulf.
WTI crude closed higher for a fifth consecutive session and Brent crude broke above $93 per barrel as supply‑risk premiums re‑emerged. For gold the impact works both ways: Hormuz‑linked risks underpin safe‑haven demand and sustain silver’s upward momentum, yet higher oil prices stoke inflation worries and lift long‑end yields, which in turn limit further advances for non‑yielding precious metals.
External Markets & Technical Levels
Across external markets, Nymex WTI crude strengthened near $87.83 per barrel; Brent crude traded close to $93.78. The US Dollar Index stayed soft and the benchmark 10‑year Treasury yield hovered around 4.7%. The Kitco Global Index quantifies how much of today’s gold volatility stems from dollar moves versus gold‑specific market drivers.
On the technical front, spot gold bulls target reclaiming resistance at $4595.00; a sustained break opens a move toward $4778.00. Near‑term bear objectives sit on a break below $4447.00, followed by $4320.00 and $4228.00. Primary resistance lies at $4595.00, then $4778.00; primary support is $4447.00, followed by $4320.00.
For spot silver, bulls aim to retake $68.02, with next target at $69.48 on a clear break. Bears look for a drop beneath $66.55, opening further downside toward $64.20 and $62.75. First resistance is $68.02, then $69.48; next support stands at $66.55, followed by $64.20.