The strong economic numbers from the US during 1Q17 have been casting a shadow over precious metals, as strong data could imply sooner-than-expected interest rate rises. Rising interest rates are negative for precious metals, as they don’t pay interest like Treasuries.
Investors are keeping a close watch on the upcoming French election and the Brexit filings for further insight into market risk. Market sentiment has played an important role on precious metals like gold and silver. Gold and silver have been on an upswing since the beginning of 2017. Funds like the iShares Gold Trust (IAU) and the iShares Silver Trust (SLV) have followed precious metals. They have risen 9.1% and 14.7%, respectively, on a YTD basis.