The political backdrop has added volatility.

Recent remarks from former President Donald Trump have raised questions about the tenure of Fed Chair Jerome Powell. Trump’s comments suggested a potential leadership change at the central bank by September, casting doubt on the Fed’s policy independence. Although Powell reiterated a data-driven stance during congressional testimony, market participants viewed the political rhetoric as a possible signal of future easing.

This combination of declining yields, a weaker dollar, and institutional uncertainty continues to support precious metals, though gains in both gold and silver remain measured pending further economic data.

Ceasefire Dims Safe-Haven Demand but Fails to Derail Rally

Still, the gold rally has remained contained, with resistance evident near the $3,345–$3,360 zone. A ceasefire between Middle Eastern powers has calmed geopolitical concerns, fueling a mild recovery in equities and limiting demand for safe-haven flows into bullion. Silver similarly faces resistance near $36.42, with traders cautious ahead of key macroeconomic releases.

Data and PCE Inflation Gauge Take Center Stage

Investor attention now turns to a batch of U.S. economic data, including jobless claims, durable goods orders, and final Q1 GDP figures. However, the core focus is Friday’s release of the Personal Consumption Expenditures (PCE) Price Index—a critical inflation metric for the Fed.

A softer print could reinforce the case for monetary easing and push gold higher, while a hotter number might stall the current uptrend. Gold and silver remain range-bound for now, but policy clarity and inflation data could define their next move.