The Perth Mint sold 23,238 troy ounces (oz) of gold and 796,934 oz of silver in minted product form during May 2024.

Opening the month around USD 2,300, the gold price in US dollar terms generally tracked flat before jumping higher by 1.5% off the back of weaker US jobs data which reinforced the potential for a Fed rate cut.

On May 20 bullion hit a record high of $2,449.89, driven by a number of factors in the middle of the month. US CPI print came in under consensus forecasts, further supported by the announcement of Chinese stimulus measures and escalation of geopolitical concerns.

The rapid rise in the gold price was followed by an equally rapid fall over the remaining trading days to end the month around USD 2,350. The main message was the FOMC believes it will have to wait longer for confidence that the inflation rate is moving down towards 2%. This hit gold as investors grew apprehensive over US rate cut timings and on strength in US business activity.

In Australian dollar terms, the gold price moved lower in May. The increase in USD terms was outweighed by a strengthening of the Australian dollar which drove the price of gold in AUD terms slightly lower but still above AUD 3,500.

Silver started the month trading around USD 26.50 and then rose higher on most trading days until hitting USD 32.00. This was its highest level since February 2013. Silver was supported by the same factors as gold coupled with reporting of increased demand for silver which forecasts an overall supply deficit for a fourth year in a row.

The silver price in Australian dollar terms was markedly higher in May in line with the increase in USD terms. Silver was trading near AUD 47 at the end of the month.

The Gold Silver Ratio was 76.5 at the end of May, falling because of the silver price gain and outperformance of gold.