Gold and silver prices lost ground this morning, June 3, 2021, on a slew of good news that the service sector is performing stronger than anticipated. Gold prices dropped nearly $40 this morning, from $1,907 per ounce to $1,870; silver meanwhile, pegged similarly significant losses, shedding about $1 to edge down from $28.15 per ounce to $27.17. It's just another ebbtide in what has been a zig-zag pattern of gains and losses for precious metals, which still maintain more robust pricing than seen a couple months ago.
Those who wish to invest in gold and silver as a hedge against inflation will find this morning's news palatable, as it could represent a great buying opportunity to get in on the dips. And at a time when both silver and gold have shown plenty of upward mobility, a drop here and there as we've seen today might represent a comparative bargain, especially if gold and silver prices recoup their losses and then some.
While short-term metals pricing activity is grabbing the headlines today, precious metals investors are keeping their eyes on long-term performance, which could ultimately be dictated by what inflation does. And right now, there are signs that the United States is entering a period of moderate inflation, a situation somewhat exacerbated by temporary pricing spikes for lumber, groceries, and other commodities due to labor and production shortages.