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Gold higher, Silver edged

Gold edged higher on Friday, after hitting a two-week low in the previous session, but easing trade tensions and a strong jobs report kept prices on track for a second consecutive weekly loss.

Spot gold was up 0.5% at $3,255.01 an ounce as of 9:41 a.m. ET (1341 GMT), after hitting its lowest since April 14 on Thursday. Prices were down 2.1% for the week, after hitting a record high of $3,500.05 on April 22.

“Gold looks like $3,500 may be a top for a little while, especially if some trade deals start to come through and some risk on appetite starts to break through the kind of negative euphoria that we’ve been seeing since the tariff talks,” said Daniel Pavilonis, senior market strategist at RJO Futures.

Spot silver edged 0.1% lower to $32.35 an ounce, platinum rose 1% to $967.70, and palladium gained 0.9% to $949.00.

Source – Reuters

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    Copper in a slump

    London Metal Exchange (LME) three-month copper slumped to a 17-month low of $8,105 per metric ton on April 7 after China responded to U.S. tariffs in kind.

    Citi, which now expects copper to hit $8,000 per ton over the next three months, warns that commodity markets are still not pricing the full potential impact on demand.

    Copper as a macro play cannot but reflect the broader market concerns about the negative impact of an escalating trade war between the United States and China on the world economy.

    But at a micro level, the specific threat of U.S. tariffs on the metal is pulling normal trade patterns out of shape and causing both LME and Shanghai exchange inventories to fall.

    Source – Reuters

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    Texas allow gold and silver as legal tender

    Texans are to be allowed to pay with with gold and silver for everyday transactions after Governor Greg Abbott signed House Bill 1056 into law. The law, which was championed by Republican state representative Mark Dorazio, designates the precious metals as legal tender in the state.

    Texans will be able to use their gold and silver holdings, stored in the state’s bullion depository, for payments through electronic systems such as mobile apps or debit cards.

    The provision comes after legislative debate, and takes effect on May 1, 2027, enabling transactions based on the state comptroller’s valuation of the metals at the time of sale.

    Source – Newsweek

    Legal Tender – officially recognized money

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    Silver Prices Strengthen [SMM REVIEW]

    According to SMM, the cash spot prices for national standard silver ingots in Shanghai today were quoted at a discount of 4 yuan/kg to 1 yuan/kg, while the premiums and discounts for large-scale silver ingots were quoted at a range of a discount of 2 yuan/kg to parity.

    Source – SMM

  • How to maximize Gold and Silver Investments

    I’ve been fascinated by investment strategies recently, and precious metals have always held a special place in my heart and financial toolkit. Gold and silver aren’t just shiny objects – they’re powerful financial instruments that can transform your investment approach when used strategically.

    Imagine having a financial safety net that not only protects your wealth but potentially grows it during economic uncertainties. That’s exactly what a well-crafted gold and silver investment strategy can do. In this guide, I’ll go over some techniques to maximize your precious metal investments.

    Understanding the Precious Metals Landscape

    Precious metals are more than just alternative investments – they’re economic chameleons that adapt to global financial conditions. Gold and silver have been trusted stores of value for thousands of years, but their modern investment potential is more complex and exciting than ever.

    Many people today are looking at more stability for their investments in case something happens in the digital world that will be hard to recover from. Precious metals is what people are looking for.

    Historical performance tells a fascinating story. During economic downturns, these metals often shine brightest. For instance, during the 2008 financial crisis, gold prices surged by over 200%, while silver demonstrated remarkable resilience. This isn’t coincidence – it’s a testament to their intrinsic value and economic significance.

    Key factors influencing metal prices include:

    • Global economic stability
    • Inflation rates
    • Currency fluctuations
    • Geopolitical tensions
    • Industrial demand
    • Central bank policies

    Diversification Strategies for Precious Metal Portfolios

    Successful investing is about balance, and precious metals are no exception. Think of your investment portfolio like a well-designed recipe – each ingredient plays a crucial role.

    Optimal allocation typically ranges from 5-10% of your total investment portfolio. This sweet spot provides protection without overexposure. Here’s a breakdown of potential allocation strategies:

    • Conservative investors: 5-7% allocation
    • Moderate investors: 7-10% allocation
    • Aggressive investors: 10-15% allocation

    Diversification isn’t just about percentages – it’s about mixing investment vehicles:

    • Physical bullion (coins and bars)
    • ETFs tracking metal prices
    • Mining company stocks
    • Precious metal mutual funds
    • IRA-backed metal investments

    Advanced Buying Strategies

    Timing is everything in precious metal investments. It’s like surfing – you need to read the waves and position yourself perfectly.

    Dollar-cost averaging emerges as a brilliant strategy. Instead of trying to time the market perfectly, you invest a fixed amount regularly. This approach smooths out market volatility and reduces the risk of making a single, poorly-timed large investment.

    Pro tips for smart purchasing:

    • Research reputable dealers
    • Verify authenticity of physical metals
    • Compare pricing across multiple platforms
    • Consider storage and insurance costs
    • Stay informed about market trends

    Investment Vehicles Comparison

    Not all precious metal investments are created equal. Each vehicle offers unique advantages and potential drawbacks.

    Physical Bullion:

    • Pros: Tangible asset, direct ownership
    • Cons: Storage costs, potential liquidity challenges

    ETFs:

    • Pros: Easy trading, no physical storage
    • Cons: Management fees, no physical possession

    Mining Stocks:

    • Pros: Potential for significant returns
    • Cons: Influenced by company performance, not just metal prices

    Tax-Efficient Investment Approaches

    Taxes can significantly impact your investment returns. Smart investors understand how to minimize tax liability while staying completely compliant.

    Key strategies include:

    • Utilizing tax-advantaged retirement accounts
    • Holding investments for more than one year to qualify for long-term capital gains rates
    • Keeping meticulous records of purchases and sales
    • Consulting with a tax professional specializing in alternative investments

    Risk Mitigation and Protection

    No investment is without risk, but precious metals offer unique protection mechanisms. Think of them as financial insurance policies.

    Critical risk management techniques:

    • Never invest more than you can afford to lose
    • Spread investments across different metal types and investment vehicles
    • Regularly rebalance your portfolio
    • Stay informed about global economic indicators
    • Consider professional investment advice

    Future-Proofing Your Precious Metal Investments

    The future of precious metals looks incredibly promising. Emerging technologies, particularly in green energy and electronics, are driving unprecedented demand for silver and gold.

    Technological innovations like advanced solar panels and cutting-edge electronics rely heavily on these metals. This means your investment isn’t just a hedge – it’s potentially positioned for significant growth.

    Conclusion

    Maximizing gold and silver investments isn’t about getting rich overnight. It’s a strategic, patient approach to building financial resilience.

    Your next steps? Start small, stay informed, and continuously educate yourself. The world of precious metal investing is complex but incredibly rewarding.

    Ready to take control of your financial future? Begin your research, consult professionals, and remember – knowledge is your most valuable asset! It doesn’t hurt to ask questions in fact it’s a benefit.