Fed Sparks a New Metals Rally: Can Hold Their Momentum?The latest Federal Reserve meeting injected fresh energy into precious metals, pushing gold higher and driving silver decisively above the $60 level.
The catalyst was the Fed’s unexpectedly dovish tone, signaling that inflation is easing faster than anticipated and that rate cuts may arrive sooner or at a steeper pace than previously projected.
Lower interest rates typically weaken the U.S. dollar and reduce bond yields—both of which create ideal conditions for commodities, especially gold and silver, to rally.
Silver outperformed dramatically, boosted by:
Strong industrial demand (EVs, solar, electronics)
A weaker dollar environment
Short-covering after breaking multi-year resistance
Investors rotating from overbought crypto and equities into hard assets
Gold is now approaching its all-time highs, while silver’s breakout above $60 marks one of its strongest moves in over a decade.
Key levels to watch:
Gold support: $3,900 – $4,000
Gold resistance: $4400
Silver support: $55 – $58
Silver resistance: $65 (major psychological level)
If the Fed confirms further easing in its next statements, the metals market may enter a new phase of structural bullish momentum. However, any hotter-than-expected inflation data could trigger a short-term correction.
