In a letter to House Speaker Kevin McCarthy as well as other bipartisan leaders Treasury Secretary Janet Yellen said that the United States could breach its debt ceiling as soon as June 1.

The BEA (Bureau of Economic Analysis) released the Personal Consumption Expenditures (PCE) for March indicating that inflation remains elevated but its advance is slowing down on a month-over-month and year-over-year basis.

Debt ceiling bills, GDP, and upcoming inflation reports have dominated the news cycle but have had little to no solid impact on the price of gold futures. Gold futures basis the most active June contract remains range bound with a solid level of technical support found just above $1980 and solid technical resistance just below $2029.

Over the next two days market participants, analysts, and members of the Federal Reserve will get the latest information on the state of our economy and the current level of inflation. At 8:30 AM EST, the BEA (U.S. Bureau of Economic Analysis) will release the advanced estimate for the 1st Quarter Gross Domestic Product (GDP).

In a prepared speech to the Sacramento Metropolitan Chamber of Commerce today, U.S. Treasury Secretary Janet Yellen warned of the potential for severe economic consequences if the House does not address and raise the debt ceiling.

This week will contain two exceedingly important government reports on the US economy. These two reports will be important in guiding the final decision of the Federal Reserve at the FOMC meeting next week.

The volatility that led to diminished bullish market sentiment for gold has returned as gold futures broke below $2000.This morning in New York traders witnessed a quick and powerful price drop from the open and high at $2016. Today gold traded to a low of $1982.30 and as of 4:45 PM EST gold futures basis the most active June 2023 contract is down $25.80, or -1.27 %, and fixed at $1993.40.

The recent volatility that led to diminished bullish market sentiment for gold has diminished as gold continues to effectively find support at $2000 per ounce and above. Today gold traded to a low of $2002.20, effectively above the current critical support level of $2000. This morning in New York traders witnessed a quick and powerful price surge taking gold to a high of $2024.20.

Recent volatility led to diminished bullish market sentiment for gold causing a price break and taking gold futures to $1980.90 before recovering. This morning in New York traders witnessed a quick and powerful price decline in gold breaking $20 below $2000 and recovering just as quickly as it sold off.

Over the last 10 trading days, gold futures have effectively closed above $2000 per ounce. Although on an intraday basis, gold has moved below $2000 on three occasions, gold prices recovered and closed above $2000 on each instance.