Friday Recap (6/5/2026)

Current (Last Week) -- (% from ATH | ATH)

AU: $4,328 ($4,543) -- 22% from ATH ($5,608)

AG: $67 ($75) -- 44% from ATH ($121)

HUI: 674 (763) -- 31% from ATH (986)

DXY: 100 (98)

S&P 500: 7,383 (7,530) -- -2.5% At ATH (7580)

10-Year: 4.5% (4.4%)

The S&P was overdue for a correction after 9 consecutive weeks of gains. Is this the top? I doubt it. The AI trade probably wants to run a bit higher, but a crash is coming IMO.

As I have explained, when the S&P gets whacked, usually gold/silver/miners are collateral damage. SILJ was down 11% today. GDXJ was down 10%. South Korea (Kospi) was down 5% last night and bled over to New York. The sellers showed up. Ouch, the bull bucked hard today. It is becoming very difficult for the non-believers to stay on the gold/silver/miner train. The HUI is down 31% from its ATH in January. That’s a sharp knife. I hope you loaded up on Band-Aids. Anyone who has been buying this correction has been getting cut.

Bull markets are difficult to trade and difficult to know when to enter. Trying to buy bottoms is impossible, but you can buy to the bottom, which I think is a good strategy. We will likely go lower at some point this year. My cycle low targets are $4000 gold (+/- 5%) and $55 silver (+/- 10%). So, we are close to the bottom, and those bottoms will not last long. Some TA guys think we could see $3500 gold and sub $50 silver. Perhaps, but I expect gold to get a bid before we get that low.

As for the war in Iran, I continue to feel confident that Trump has decided not to escalate bombing, other than minor skirmishes. So, essentially, the war is over, and Iran controls the Strait. Now we wait to see how that unfolds. When does Trump drop the blockade and go home? Stay tuned. It could be weeks, or it could be months. Trump keeps telling us a deal is near. My guess is that Trump knows he has to leave and wants some type of concession from Iran before he leaves. He is negotiating that concession.