Gold prices remained close to a record high as criticism from the Trump administration towards the Federal Reserve raised concerns about its independence. Bullion traded at approximately $4,596 an ounce, with the dollar weakening and Treasuries selling off after the latest attack on the Fed.

President Trump’s calls for lower interest rates have impacted the Fed’s ability to control inflation, leading to a “sell America” trade. The Department of Justice’s probe into Fed Chair Jerome Powell has caused concern among lawmakers and Treasury Secretary Scott Bessent, warning about potential market repercussions.

Uncertainty surrounding the Fed’s independence and US interest rates, along with geopolitical risks, have been key drivers for gold prices. Speculative trading, especially among momentum-oriented traders, has fueled activity in the precious metals market.

Silver prices rose after overcoming a 2% loss, driven by speculative interest. CME Group announced changes to margin setting for precious metal futures due to price surges and volatile trading. Silver’s rally has been supported by gold’s performance, US tariffs, and concerns about the Fed’s independence.

Citigroup Inc. predicts gold to reach $5,000 an ounce and silver to hit $100 an ounce in the next three months. Despite geopolitical risks, the bull market for precious metals is expected to continue in the near term. Spot gold was steady at $4,596.03 an ounce, with silver rising 1% while platinum and palladium fell.

Read more at Yahoo Finance: Gold Steadies Close to Record on Worries Over Fed’s Independence