Gold, silver and platinum lose steam after bullish week amid dollar rebounds on tariff
Precious metals slip as U.S. dollar rebounds on tariff delay
Precious metals have begun the new week on a weaker footing as a rebound in the U.S. dollar on Monday halted last week’s upward momentum.
This comes after gold, silver, and platinum had posted strong gains the previous week, largely driven by dollar weakness due to deteriorating U.S. fiscal credibility and reports of Washington scaling back involvement in the Ukraine conflict.
Highlights
-Precious metals slipped as U.S. dollar strengthened after tariff delay-Gold tests $3,320 support on fading volume, silver holds $33.245 base-Platinum shows strength despite reversal, eyes fresh attempt above $1,100
The tide turned today after President Trump postponed tariffs on the European Union to July 9. That delay spurred dollar strength across early sessions and cooled metal demand. Gold, which had jumped 4.85% last week has been sliding lower since the Asian session and is now down nearly 1% during the European session, trading near $3,325. This decline aligns closely with the 20-period EMA on the 4-hour chart at $3,320.
Gold, silver, and platinum price dynamics (March-May 2025). Source: MT4
Technically, the retracement appears less convincing. The volume profile shows the last intraday bullish rally of last week came with rising volume, while today’s pullback is marked by fading volume. This suggests that the downward move could lack conviction, and the broader trend may reassert itself soon if the dollar softens again.
Silver and platinum hold key supports as traders assess short-term dollar surge
Silver followed a similar path today, moving lower after consolidating in Asian hours. The price dipped during the European session but found support at $33.245, a level reinforced by both the 50 and 100-period EMAs on the 1-hour chart. Silver is currently down about 0.4% and trading near $33.32. For any fresh upside, silver needs to push past $33.70, a key resistance level that has capped gains for several weeks.
Platinum, which led gains last week with an 11% surge, opened this week by testing new highs above $1,100. However, it reversed in the Asian session and has since moved within a narrow range. Despite dollar pressure, platinum has shown relative strength compared to its peers. The RSI on the daily chart is still in overbought territory, yet price action has seen only limited pullback, suggesting buyers may still be in control. A recovery later in the day could see platinum make another attempt toward higher ground.
Overall, the correction across the board appears contained for now. Much depends on the dollar’s trajectory in the coming sessions. If the currency stalls or retraces, precious metals could quickly resume their prior uptrend.
Gold resumed its upward momentum after the dollar weakened due to ongoing debt concerns. Silver and platinum advanced as they reclaimed support and targeted higher resistance levels.
