Gravity Returns to the Gold and Silver Markets

​After a week of euphoric gains, reality set in for precious metals on Friday. The "silver squeeze" appeared to lose its footing after the metal touched an astronomical $120, only to plummet to $75 in a matter of hours. This 35% correction suggests that the parabolic move was unsustainable. Gold's trajectory was similarly broken; despite a mid-week surge to $5,600, it has surrendered its post-$5,000 gains to trade at $4,718, down 12% as the "bubble" narrative gains steam.