Market Update 23 July 2021

Gold suffers yet another frustrating week, recording losses amounting to -1.58% as it sees its price per ounce fall from $1,832 last Friday to $1,803 at the time of writing. The yellow bullion started the week on its high and experienced a low of $1,792/oz as it briefly dipped below the $1,800/oz psychological level during the July 22 trading session. Despite the recent recovery at the start of July, the gold price remains down -5.60% since its downtrend which started on June 1st.

GOLD PRICE (6 MONTHS)

Source: Tradingview; COMEX

Silver is down even further this week as it sees its price drop from $26.41/oz 7 days ago to $25.40.oz today, demonstrating a significant loss of -3.84% in a week. The metal experienced a high of $26.52/oz and a low of $24.80/oz, the lowest price seen in nearly 15 weeks. Unlike gold, silver did not benefit from a slight recovery in the beginning of July. The white metal remains -10.00% down from its June 1st price of $28.23/oz when the downtrend started.

SILVER PRICE (6 MONTHS)

Source: Tradingview; comex)

 

Platinum is down -4.05% after falling as much as -7.38% during the first half of the week. Its prices fell from $1,137oz to $1,091/oz at the time of writing. This week, the industrial metal experienced a high of $1,140/oz and a low of $1,053/oz, its lowest price in more than 3 weeks. Despite a slight recovery in July, the metal remains -9.23% down since the start of its downtrend on the 1st of May.

Palladium is down just -0.18% after it experienced a sharp decline between last Friday to Tuesday, which amounted to -5.78%. The metal regained its value with a strong upward trend through the second half of the week. Overall, palladium prices fell from $2,730/oz to $2,725/oz today. This week, the metal experienced a high of $2,751/oz and a low of $2,574/oz. Compared to the start of May, the metal is down -7.04% from $2,937/oz, while it was down -16.54% towards the end of June.

Rhodium continues its tremendous losses after it records a -4.20% loss this week as it sees its value drop from $19,050/oz to $18,250/oz today. The metal, used to reduce NO2 emissions in vehicles, has suffered immense losses in the last months amounting to a total of -38.13% since the start of May.

All eyes were looking at the European Central Bank’s (ECB) meeting on Thursday. This meeting decided the fate of interest rates in the European Union (EU) as well as the rate of bond purchases. The ECB pledged to keep a “persistently accommodative” stance in their monetary policy. Interest rates and asset purchases will remain unchanged as the virus gains traction through a rapid rise in cases, casting a shadow over economic growth and recovery.

The US Dollar index (DXY) is trading at a 3 month high of 92.88. Since the 1st of June, the DXY is up 3.39% causing stress to push gold prices lower.