Fed rate decision and my precious metals play
- •Well, another Fed decision day is upon us.
- •I’ve been watching the gold and palladium market tick up all morning, anticipating what Powell's going to say.
- •I'm sitting on a little over $5 million invested, about a third of that in physical gold and palladium within my IRA.
Well, another Fed decision day is upon us. I’ve been watching the gold and palladium market tick up all morning, anticipating what Powell's going to say. Honestly, with my portfolio, these announcements are getting almost as nerve-wracking as closing a big development deal, though the stakes are different. I'm sitting on a little over $5 million invested, about a third of that in physical gold and palladium within my IRA. The rest is in luxury residential down in Aspen, mostly, so a rate hike directly impacts my carrying costs on some of those properties. Not ideal.
My Palladium IRA, specifically, has been outperforming my gold holdings over the last six months, and that's precisely why I started diversifying into it three years ago. I remember having a conversation with my financial advisor, Mike, about how palladium's industrial demand combined with its rarity made it a smarter long-term play for a portion of my precious metals. He was right. I put about $750k into it, and it's been a significant contributor to my overall portfolio growth. Now, with the whispers of a pivot, I'm trying to gauge if it's time to rebalance a bit or just hold steady.
I’m curious how other folks here are feeling about their precious metals going into this. Are you expecting gold to finally break out with any hint of a rate pause? Or are you, like me, keeping a closer eye on the industrial metals like platinum and palladium which have been showing some truly impressive resilience this year? My gut says to hold onto the palladium, maybe even add a bit more if there's a dip post-announcement, but I’d love to hear some other takes.