Daily Gold Market Report

March Madness:
Financial Shocks and Shutdowns Loom Over the Economy

(USAGOLD – 3/1/2024) Gold and silver prices are higher in early trading this morning. Gold is trading at $2046.56, up $12.01. Silver is trading at $22.67, up 21 cents. March will be an interesting month. Congress approved a temporary spending bill to prevent a partial government shutdown this weekend. The measure, which extends funding for part of the government until March 8 and the rest until March 22. The Fed is going allow the Bank Term Funding Program (BTFP) to expire on March 11. Yesterday New York Community Bank stock crashed 20%+ after reporting “material weakness in internal controls.” NYCB is the same bank that acquired the collapse Signature Bank during the regional bank crisis. Adding to the liquidity crunch, Office building prices are down nearly 50% from their highs, with a Canadian pension fund just sold its 29% stake in this New York office building for $1. We are sure in for some fireworks this month

USAGOLD Comment: Owning physical gold outside the financial system offers a hedge against potential financial instability and systemic risks highlighted by recent events, serving as a tangible asset that can preserve value independently of financial markets and institutions.