What Factors Affect The Price Of The Precious Metals?
By Mike Mouret Factors That Affect The Price Of Precious Metals What factors affect the price of the Precious Metals? Gold and Silver market values fluctuate all throughout the day and night, trading worldwide nearly 24 hours a day now. Many economic and political factors influence the physical Gold and Silver market price, known as the SPOT price. Some of the most notable factors include: current and long-term interest rates, the current rate of inflation, Gold & Silver's physical supply and the physical demand for them, speculator/investor purchases and sales, the current value of the US Dollar as a currency, large metals transactions made by Central Banks around the world, and of course, unforeseen events that can rapidly reshape whole economies. The Fed's Monetary Policies. The Federal Reserve is a privately-owned group of banks that controls the U.S. supply of money in the market to keep the economy growing at a pre-selected rate, or contracting when ...