Gold prices rose above $5,100 an ounce after the U.S. Supreme Court limited presidential tariff powers. The court ruled against a 10% tariff imposed last year under the IEEPA. This decision eased some immediate market pressure.
The administration quickly sought new 10% tariffs under the Trade Act of 1974. This shows ongoing trade tensions remain a risk. Lifting tariffs could reduce household costs by $600 to $800 by 2026, according to the Yale Budget Lab.
Weak economic data also supported precious metals. Real GDP growth dropped in the fourth quarter. Consumer sentiment sits near 60-year lows, while consumers expect inflation to increase by 3.3%.
Loose financial conditions also supported gold and silver. The Chicago Fed National Financial Conditions Index stands at -0.56. Gold broke above $5,090, opening the path for a move towards $5,600.
Silver prices also showed upward momentum, rebounding from $72 support. The price closed the week higher. Analysts expect a stronger surge for silver, with immediate resistance at $100 likely to break.