AGE Daily Gold Update

AGE Daily Gold Update presents a recap on today's action in the precious metals markets. View archives.

8/22/2025: Gold surges on dovish Powell

Source: Bill Musgrave, American Gold Exchange

Austin — New York spot gold surged 1.1% to close above $3,374 as Treasury yields and the dollar plunged after Jerome Powell signaled a probable interest rate cut in September. Bullion gained 1.2% for the week. Silver jumped 2.4% to finish at $37.89, posting a 3% weekly rise.

In a much-anticipated speech at the annual Jackson Hole symposium of global central bankers, the Fed Chair acknowledged that downside risks to the labor market "may warrant adjusting our policy stance."

While Powell did not explicitly commit to cutting rates, he was more dovish than expected and the markets ran with it. Fed funds futures raised the likelihood of a quarter-point cut in September to nearly 90%, up from 70% before the speech.

All three major US equity indexes rallied strongly on the prospect of easier money, with the Dow and Nasdaq adding nearly 2% while the S&P 500 rose 1.5%.

Benchmark 10-year Treasury yields fell sharply to 4.26%, supporting gold by decreasing the opportunity cost for holding it instead of bonds for safety.

Tracking lower with yields, the dollar tumbled nearly 1%, lifting gold and other commodities by making them less expensive in other currencies, boosting demand overseas.

Platinum rose 0.7% for the session and 2% for the week, Palladium added 2% today and 1.1% this week.

At the New York spot close: gold gained $37.50 to $3,374.40; silver surged 91 cents to %+$1,364.85; platinum picked up $8.90 to $1,364.85; and palladium rose $22.70 to $1,134.85 an ounce.