After a great week's performance, the metals are taking a breather this morning. Gold is up 3% for the week to $1,775, silver is up 8% to $20.25, platinum is up 2% to $912, and palladium added 3% to $2,116.
For the latest 1-yr, gold is down 2%, silver is down 21%, platinum is down 14%, and palladium tied silver is also down 21%.
Evidence of stagflation continues to manifest, with credit card balances claiming 13%. This is the highest leap in balances in 20 years. And the yield curve inverted further over the last week, indicating further turmoil for stocks and bonds. As inflation outpaces economic growth, the only way spending could continue is with borrowed funds.
Silver continues to be in the headlines, up another 8% this week. Demand for 2022 is projected to be 5% higher than 2021, while supply growth is projected to be only 3% higher. This is the 2nd year in a row where demand is outpacing supply. Only 30% of the silver mined each year comes from silver mines, with 70% produced as a by-product from other mines. This makes increasing the production of silver difficult in the face of growing demand.