On the road on a Friday heading into what should be an eventful weekend because, as you can see, nice to see a rebound in the gold and silver pricing. Gold futures up $108, almost $109 today. Silver futures rebounding back up a buck $70 after yesterday’s sell-off. And just to recap, I mean quite a volatile week it’s been. We had sell-offs, we had rebounds, we had more sell-offs, rebounds, sell-offs. Here’s the gold chart than that surge today. Gold price was higher earlier today at, you can see at 11 o’clock, up at $45.72.

Now down at $45.20 and a similar pattern with silver where you had that big spike today. Got as high as $71.73 down below the $70 mark now, although what’s really interesting about what we’re seeing here is that we’re seeing a shift in that pattern that’s existed the past couple weeks where it was almost as if there was any sort of resolution to the war. That was positive for gold, but any escalation to the war, including a higher oil price, we were seeing the gold and silver prices sell-off. Although as I mentioned here we have Brent crude oil over $110 at $111.68 on the news that even Chinese ships are being turned away from the Strait of Hormuz.

And we see here two ultra-large container vessels owned by China Ocean Shipping Company tried to pass through the Strait but returned back. And that’s with China being an ally of Iran who has previously said that friendly ships can pass through the Straits. And as I guess you could surmise here like this third bullet, the incident indicates that Iran is still blocking traffic in the Strait. I guess you could say that is safe to say, but again what is really interesting here is seeing that on a day where the oil price is surging, that you also have gold and silver up.

Now again I’d like to see more than one day of this before saying that the correlation has officially changed and we’re in a new phase here yet. I’ll reiterate that I think we’re going to get to a point where when you see oil price higher, when you see big inflation numbers, that we will eventually see a change from the pattern that we’ve lived through where inflation is higher. So typically what happens is that when inflation comes out hotter than expected or we see the oil price surging, the futures traders get a little scared off because they think that means it’s going to be less likely for the Fed to cut interest rates.

And there is truth to that, yet at the same time you see the inherent conundrum or paradox, if you will, where if inflation is surging and gold and silver are the inflation hedge, you would think they would rise higher. Where I think that leaves us is that we will eventually get to a point where market stops carrying as much about what the Fed is going to do and starts realizing gee this inflation is going to have an impact on the currency and you would see a rally into gold and silver. Seeing that today, again I’m not saying that this is the official crossover line and all of a sudden that’s going to be the dominant pattern but certainly something to watch out for and keep in the back of your mind.

You can also see that the gold and silver prices are higher on a day where the bond yields are also higher and they’ve been rising again recently. You can see they were even higher earlier today up at $4.48 although again just to put that in context if we look at where we were when the war began down at $3.94 so currently 49 basis points higher which is quite a move and also has a lot to do with the sell-off that we’ve seen in gold and silver because as the yields are rising.

Yeah I think you could say that that’s some sort of indication that things are not really ideal in the bond market and perhaps would be a warning sign that with the inflation not only that we had in February keep in mind you saw the PPI surge to 3.4% in February and that was before oil went from the upper 60s to over $100 so that’s still going to have to be factored in yet keep in mind that these things are priced by the futures traders on the COMEX so they do care about that bond yield going higher so as opposed to zero yielding gold or silver you’re getting a higher yield on the US 10-year which has added to the pressure but again that’s another part of this trend that we are seeing break today so certainly something that you want to keep an eye on and makes the Sunday night open already pretty exciting even if that’s still a couple of days away in terms of what is going on with the latest of the war here again we can see the oil prices rose as Iran rejected direct US talks despite proposal review and we see the oil price rose after Iran signaled it had no intention of holding direct talks with the United States despite Trump saying on Tuesday that the US and Iran are in negotiations right now and suggested Tehran is eager to make a deal not trying to pick on Trump here but at least on an even money bet I would bet against the part about Tehran being eager to make a deal not saying that couldn’t be the case but from the different things that I am reading and hearing I think that is not quite what is going on and as we’ve seen not just in this situation but is typical of wartime that take things that are coming out with a grain of salt I mean we have Israel with a blockade on social media reports which means that on one hand it’s kind of hard to know exactly what’s going on there interesting actually ran into an Israeli fellow last night just talking to him and asked him what he had heard and I mentioned that I’ve been seeing on Twitter disturbing video showing images that I don’t think our AI but show a lot of missiles coming down into Tel Aviv and he confirmed that that’s what he’s been hearing from his family and friends back in Israel so maybe the golden rule or the silver rule if you will is that especially during wartime don’t count on governments to give you a full picture of exactly what’s going on and here we see trump wants to squeeze Iran into peace talks with more troops but it may backfire analysts say and here trumps military buildup in Iran serves more as leverage rather than a prelude to a ground war hearing a lot about boots on the ground certainly not good to hear that and actually touches on something that we heard from Thomas Massey and I will play a little bit of that here I was wondering what did you make of the scene yesterday when Republican senator Tim Sheehy helped break that marine’s arm as he was saying we shouldn’t go to war for Israel did you see that scene I saw it and my heart breaks uh for that man yeah yeah the police here trying to keep people safe I think the the politician would have been better just to stay out of it it’s a bad it’s a it’s a very bad visual and um it’s just a terrible thing that happened what do you think I mean you’re talking about videos what do you think of the visual of a marine saying we shouldn’t go to war for Israel and you just mentioned how much of a rodeo suggests as much for a marine to make that protest and for his arm to be broken by a republican who’s in support of this war what do you think of that image for the American people who might be skeptical of this war it’s a bad image and it may be any symbolic uh I’m following that marine on social media now because I’m interested in what he has to say I mean he’s a man who served his country as far as I know and so I’m interested in hearing his thoughts so certainly you can see that emotions are running high and again I am not a war analyst but as someone who’s been on the we have with previous wars and back to Massey for a moment here’s what he said about the financial impact of the war which I don’t think has so far been priced into gold and silver but I do believe will before it’s all said and done it’s just more money that mostly goes straight to military industrial complex um and and then that’s the problem that you get into you can’t when you put your troops out there it’s hard not to fund them but this should have been authorized by congress to start there’s reports that the war is costing a billion dollars it’s at least costing a billion dollars a day you can you can count the missiles in the video people back home they’re already feeling it in gas prices and then they’re going to feel it in grocery prices and eventually housing prices and interest rates as our debt goes up we spent eight trillion dollars in the east already this this thing could get into a trillion dollars real quick and that goes straight to our debt so it’s it’s bad financially but it’s also i just don’t think we have clear policy after we obliterate the uranium government and uranium military then what what do you do after that i don’t think we’re going to be successful at nation building obviously if you look at some of the past wars in the middle east the costs have been absolutely staggering my guess is that if this one continues on the cost of this will be staggering as well and is probably why luke groman mentioned this in his latest mailbag especially when i look at this and go iran is getting more and more leverage with each day hormuz stays closed and whenever this all breaks which is two three weeks at the most in my opinion because you’re already seeing supply chains get really really strained um wow when they have to print money to keep sovereign debt from defaulting into an energy spike an energy shock a supply chain collapse doggy i think gold ends the year at least with a six in front of it maybe a seven so let’s watch but anyway that is enough of the heavy news and perhaps before we wrap up and head into the weekend i wanted to share this one hopefully that’s okay with the fellow who made it but not trying to belittle the heavy emotions of what’s going on here yet it’s been enough nights crying at some point you try and laugh to lighten a little bit so hope you enjoy this one here sir they’re about to go nuclear how long do we have they’re two weeks away how two weeks away are they even more two weeks away than they were five years ago my god that’s dangerous levels of two weeks away i know son if anything happens to me continue my work we’re only two weeks away i will continue it shall i now i’ll go to where no one can find me my office on the third floor right by that really big window sir if we attack they will close the strait of hormones they don’t have the balls to close the strait of hormones they just closed the strait of hormones and oil is now over a hundred dollars a barrel please keep me out of this no one likes this war and i want to be president one day come on send a boat or something you’re the most powerful military in the world you send your own boats that was a test you fell right into my trap sometimes the best reason for war is no reason at all so so there is your gold and silver news heading into the weekend hopefully you’re getting set to go out have a nice break from all of this in case you would like more coverage of all these things that are going on we do have the golden silver daily sub stack at goldensilverdaily.substack.com where we have a written column that goes out each day and a lot of people have been enjoying and finding helpful so you can take a look at that and in case you’re wondering where this could lead how this all impacts the petrodollar that we were already seeing unraveled before all this began well just click on the video that’s coming your way now
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