The US markets are currently projecting volatility as they continue to battle changing Fed moves while experiencing a rare US government shutdown. This double-trouble scenario has been putting stress on major markets, with the US dollar sinking into new lows. Alongside that, the metals are exploring new price highs, while the dollar and stocks cap in neutral gains. What’s next for these assets? Let’s explore the possibilities.
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What’s Next for the US Dollar?
The US dollar is currently exploring new lows, as USD de-dollarization continues to gain speed. The constant US dollar weaponization has led the world to ditch the American currency, supporting its alternatives to hit new highs amid a new financial change. That being said, the changing Fed stance, promoting more than one rate cut this year, is also taking a toll on the US dollar.
“The US dollar is in free fall, and it’s not hard to understand why. The US has been using the dollar, sanctions, and the freezing of bank accounts and dollar-related assets to punish countries all over the world. It’s only logical that the world would divest.”
According to Morgan Stanley’s USD data, the US dollar is expected to encounter further lows, extending its morose value stance to 2026.
“The value of the U.S. dollar against other currencies dropped about 11% in the first half of this year, the biggest decline in more than 50 years, ending a 15-year bull cycle. Morgan Stanley Research estimates the U.S. currency could lose another 10% by the end of 2026. Despite a recovery of 3.2% in July, the delayed impact of tariffs on growth and unemployment—besides policy uncertainties—is likely to keep negative pressure on the dollar.”
What About Gold, Silver, and Platinum?
Gold and silver have long been capping new highs, as investor sentiment shifts towards stable, safe-haven assets from the wobbly US dollar. According to Rashad Hajiyev, gold is already on the cards to hit $4000, post which it may consolidate before resuming further ascent.
“The sell-off yesterday was much needed to cleanse sentiment. Although it is not that big of a sell-off, it does the job. Miners held pretty good. Looks good. I think gold is headed to $4k before it makes a meaningful pause…”
For silver, Hajiyev shared how the metal is currently trading $48, all while projecting a jump towards $50 as its new ATH.
“For the past 5 trading days silver has been consolidating in the $46 – 48 range. I would like silver to build up energy and blast through $50 decisively…”
In addition to this, the price of platinum has also hit new highs, as US markets continue to explore a holistic metal rally. The price of platinum has hit its highest in the last 12 years, with projections of the asset claiming
According to Sistine Research, platinum is eyeing a high of $3000 to $4000 in the near future.
Also Read: JP Morgan: Rising Risks Signal Change, Not Collapse for the US Dollar