Daily Gold Market Report

Gold up marginally as Fed meets amidst besieged US economy
Druckenmiller shorts the dollar, his only ‘high-conviction trade.’

(USAGOLD –5/2/2023) – Gold is up marginally this morning as the Fed begins its conclave amidst a range of stubborn problems besieging the US economy. It is up $6 at $1991. Silver is down 22¢ at $24.82. Stanley Druckenmiller, the highly regarded former hedge fund manager, recently called the current market environment the most uncertain he has seen in his 45-year career. “The Fed has shown some mettle over the last year,” he recently told Financial Times, “but historically I would not say [Federal Reserve chair] Jay Powell is a profile in courage.” Druckenmiller is betting against the US dollar calling it his only “high conviction trade.” He also said that “big asset classes like equities were likely to show little if any positive direction over the next 10 years.”

US Dollar Index

Chart courtesy of TradingView.com • • • Click to enlarge