Dow & S&P 500 hit fresh highs

Stocks are flying higher on Wall Street along with precious metals, says Chris Beauchamp, Chief Market Analyst at online trading and investing platform IG.

Rally in stocks pushes on

The August surge in equities continues to make headway, with the S&P 500 and Dow both clocking up a second consecutive all-time high. The tech worries of the past month seem to have vanished in a puff of smoke, while the rest of the market takes heart from hopes of a deal to re-open Hormuz. Whatever the damage to the US’ standing internationally, markets only care for now about the beneficial effect of lower oil prices, which are likely to help cool inflation and ease back the chances of Fed hikes in 2026.

Gold and silver enjoy best day in weeks

Precious metals have taken the bull by the horns today, basking in their best day since mid-June. Hopes were high back in late March that the price of both had bottomed out, but that proved to be a false dawn thanks to the dollar. A dramatic reversal over the last week paves the way for a continued recovery in precious metals, though much depends on how Fed commentary evolves ahead of Jackson Hole later in the month.