CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 87.41% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Scan to Download iOS&Android APP

Metals market today: Silver and gold dip following July FOMC minutes

By Indrabati Lahiri

09:00, 19 August 2022

Share this article
In this article:
Anglo American
33.065 USD
-0.04 -0.120%
14.275 USD
0.195 +1.390%
3.8575 USD
0.06 +1.580%
5.5900 USD
0.012 +0.220%
1798.06 USD
-5.06 -0.280%

Subscribe to Weekly Highlights

The major market events for the week ahead right in your inbox. Subscribe
Bank reserve silver bars arranged in rows
Silver dropped under the key $20 level on Friday morning – Photo: Shutterstock

Precious metals were lacking shine on Friday morning, ending the week on a low note, with gold, silver, platinum and palladium all down, courtesy of the US dollar hitting a one-month peak in the previous trading session.

The US Federal Reserve’s July meeting minutes which were released on Wednesday painted a grimmer picture of the US economy, with the central bank highlighting that it would continue with its aggressive interest rate hikes for now. Gold had dropped 0.3% to about $1,752 per troy ounce, struggling to recover from a three-week low seen in the last trading session, and falling for the fifth day in a row. The precious metal also saw a weekly decline of about 2.7%.

Gold fell for the fifth consecutive day 

Analyst views on metals

According to Piero Cingari, analyst at, “The metals market suffered a particularly negative week, with gold and silver falling for five days in a row.A slew of negative macroeconomic events contributed to the downward pressures.

Earlier this week, Chinese economic data that fell short of expectations fuelled fears of a global slowdown, prompting China to cut interest rates unexpectedly. Then there were the minutes from the July FOMC meeting, which reminded us that the cycle of rising interest rates is still far from over.China slowing down and the Fed raising interest rates are both bad news for gold, silver, and copper as well.

Technically, after four weeks of rallying and breaking the 50-day moving average, gold hit the bearish trendline from March and 8 highs, causing a pullback .In the short term, bears eye the support located between 1,730 and 1,734 as a possible test.”

What is your sentiment on Gold?

Vote to see Traders sentiment!

Gold chart showing the 50 and 200 dma

Gold chart showing the precious metal falling for 5 days in a row Gold fell for 5 consecutive days due to a strong

Metals price performance

Silver dropped 0.8% to $19.30 per troy ounce, falling below the critical $20 per troy ounce level that the precious metal was barely clinging on to for the last few days. This marked the fifth day in the red for the precious metal. Silver also saw a weekly decline of about 7%, pressured by the minutes of the latest US Federal Reserve meeting.

Platinum inched lower 0.5% to $906 per troy ounce, with a weekly decline of more than 5%, also pressured by potentially rising interest rates. Palladium was also subdued, falling about 0.5% to $2,146 per troy ounce, on account of a disappointing recovery in the global automotive sector.

Copper traded flat at about $3.60 per pound, with a weekly decline of 1.3%, pressured by disappointing industrial data from China recently, as well as the International Monetary Fund and several investment banks slashing the country’s growth forecasts. Iron ore dropped from CNY 707 per tonne in the last trading session, to about CNY 705 per tonne on Friday morning. Aluminium traded 0.3% lower, at about $2,403 per tonne, with a weekly decline of about 4.6%.

The US dollar (DXY) inched up from 107.5 in the previous trading session to about 107.7 on Friday morning.

The US Treasury yields climbed up 4 basis points to 2.9%.

Top mining ETFs and mining stocks

GDX fell about 9% this week 

The Van Eck Gold Miners ETF (GDX) traded flat at about $25.8, with a weekly decline of almost 9%.


23.18 Price
+1.770% 1D Chg, %
Long position overnight fee -0.0182%
Short position overnight fee 0.0065%
Overnight fee time 22:00 (UTC)
Spread 0.040

Natural Gas

6.21 Price
-8.960% 1D Chg, %
Long position overnight fee 0.0408%
Short position overnight fee -0.0658%
Overnight fee time 22:00 (UTC)
Spread 0.005


1,798.06 Price
-0.280% 1D Chg, %
Long position overnight fee -0.0188%
Short position overnight fee 0.0073%
Overnight fee time 22:00 (UTC)
Spread 0.33

Oil - Brent

86.01 Price
-1.240% 1D Chg, %
Long position overnight fee 0.0007%
Short position overnight fee -0.0149%
Overnight fee time 22:00 (UTC)
Spread 0.04

The Van Eck Junior Gold Miners ETF (GDXJ) inched up 0.7% to $32.3, also with a weekly fall of about 9%.

The S&P Global Metals and Mining ETF (XME) inched up 2.4% to $51.9, with a weekly rise of more than 4%.

Glencore (GLEN) dropped 1% to GBP 4.9, with a weekly rise of more than 6%.

Rio Tinto (RIOgb) rose 1.4% to $60.5, with a weekly fall of almost 3%.

Anglo American (AALI) dropped 1.5% to GBP 28.6, with a weekly dip of about 5.7%.

Antofagasta (ANTO) inched lower 1.2% to GBP 11.5, with a weekly decline of about 4%.

Today’s market moving events

UK retail sales rose 0.3% month-on-month, a big leap from last month’s 0.2% decline, which was also the consensus target for this month.

UK’s Gfk Consumer Confidence index for August was also out, falling to a new record low, at about -44, down from -41 in the previous month, even worse than the consensus target of -42.

Will the US Federal Reserve's aggressive monetary policy tightening help finally control inflation and raise consumer sentiment? 


Related reading

Rate this article

Share this article

The difference between trading assets and CFDs
The main difference between CFD trading and trading assets, such as commodities and stocks, is that you don’t own the underlying asset when you trade on a CFD.
You can still benefit if the market moves in your favour, or make a loss if it moves against you. However, with traditional trading you enter a contract to exchange the legal ownership of the individual shares or the commodities for money, and you own this until you sell it again.
CFDs are leveraged products, which means that you only need to deposit a percentage of the full value of the CFD trade in order to open a position. But with traditional trading, you buy the assets for the full amount. In the UK, there is no stamp duty on CFD trading, but there is when you buy stocks, for example.
CFDs attract overnight costs to hold the trades (unless you use 1-1 leverage), which makes them more suited to short-term trading opportunities. Stocks and commodities are more normally bought and held for longer. You might also pay a broker commission or fees when buying and selling assets direct and you’d need somewhere to store them safely.
Capital Com is an execution-only service provider. The material provided on this website is for information purposes only and should not be understood as an investment advice. Any opinion that may be provided on this page does not constitute a recommendation by Capital Com or its agents. We do not make any representations or warranty on the accuracy or completeness of the information that is provided on this page. If you rely on the information on this page then you do so entirely on your own risk.

Latest Commodities news

Still looking for a broker you can trust?

Join the 475.000+ traders worldwide that chose to trade with

1. Create & verify your account 2. Make your first deposit 3. You’re all set. Start trading