Powell releases dovish signals, gold and silver prices surge in the short term! On August 22, Federal Reserve Chair Jerome Powell made key statements regarding monetary policy at the Jackson Hole Central Bank Symposium. He noted that the labor market has achieved a "curious balance" as both supply and demand have slowed significantly, suggesting increased downside risks to employment. Regarding inflation, he indicated that upside inflation risks remain present, but the Federal Reserve may still cut interest rates in the coming months. Additionally, the monetary policy framework was adjusted, removing the language about "seeking to achieve an average 2% inflation target over time" and using deviations from full employment levels as decision-making criteria. Following the meeting, gold and silver surged substantially. By Friday's night session close, COMEX gold futures prices rose over 1%, COMEX silver futures prices climbed over 2%, and domestic gold and silver prices also received significant support.

Current precious metals price movements are influenced by multiple factors. On one hand, Federal Reserve rate cut expectations are adjusting, while the Fed's stability and independence may face challenges. On the other hand, tariff developments and easing geopolitical tensions have somewhat reduced market risk-aversion sentiment. In the short term, attention should be paid to whether U.S. employment performance can reopen rate cut possibilities, which could provide some support for gold and silver prices. From a medium to long-term perspective, U.S. economic policy uncertainty remains high, while the continued expansion of U.S. debt provides long-term support for gold and silver prices through "de-dollarization" logic. On the technical side, gold should watch for resistance near previous highs. For silver, the gold-silver ratio saw a slight rebound last week, presenting potential recovery opportunities.

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