FOMC Preview: Hawkish Bias Sends Gold and Silver Plunging, Dovish Bias Limits Gains

Tonight's focus is undoubtedly the Federal Reserve's FOMC meeting.
Currently, the market expects a 99% probability of no rate cut.

The key point actually lies in Powell's subsequent speech.

In simple terms:
If Powell signals a dovish stance, it would be positive for gold and silver.
But in the current environment, gains are likely to be limited.
If he adopts a hawkish stance, gold and silver could see a sharp pullback.

The US dollar index has already risen 0.41% intraday,
indicating the market is reacting in advance.
Many are betting that Powell will reiterate his anti-inflation stance,
defend the independence of the central bank, and so on.

Short-term strategy leans more towards bearish silver.
The main game is whether Powell maintains a tough stance.
Before the meeting, profit-taking and risk aversion usually occur,
which often increases volatility.
As seen in the 15-minute silver chart,
the intraday gains have already been retraced,
and market sentiment is clearly cautious.

This is only a very short-term game.
After all, the main logic driving gold and silver's strength this year—
rate cut expectations, a weakening dollar, and risk aversion—
has not fundamentally changed.
Right now, it's just using event-driven volatility to set a rhythm.

#美联储利率决议临近
Super short-term short position on silver