ADMIS News
GOLD / SILVER
The war in Ukraine and inflation worries appear to have overcome hawkish Fed commentary this week and driven safe-haven buying into gold and silver. Both markets broke out of their recent consolidation zones on Thursday and traded to their highest levels in over a week. News that the US is taking steps to limit Russia’s ability to sell gold was a supportive factor. The US Treasury issued a notice yesterday that gold transactions with Russia are prohibited, and overnight there was a report that the G-7 nations had agreed to crack down on any gold transaction involving Russia’s central bank.
PALLADIUM / PLATINUM
Unlike gold and silver, platinum and palladium are being held back by prospects of an economic setback due to the Ukraine war and restrictions in China due to Covid. A weak US durable goods number yesterday added to recent concerns about industrial demand. Lockdowns in several cities in China over the past couple of weeks have raised concerns that their industrial activity is being held back, which could limit automobile production and auto catalyst demand.
COPPER
Copper reached a two-week high yesterday, but the Covid lockdowns in China have damaged a key source of demand, which could limit further gains. After reaching its highest level since March 10 yesterday, May copper closed lower on the day and was soft again overnight.
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