Given higher than expected inflation print this week, the Federal Reserve is less likely to lower interest rates.

On Friday mining audiences manager recorded Kitco Roundtable.

Gold investors could see higher volatility next week as the Federal Reserve is expected to signal it will not be ready to lower interest rates before the summer.

The weakness comes as the Federal Reserve’s preferred inflation gauge – the core Personal Consumption Expenditures (PCE) index – showed that inflation remains higher than preferred, rising 2.8% over the prior year in March, above estimates for 2.7%

On Wednesday the Fed will make an interest rate announced followed by a press briefing by U.S. Federal Reserve Chair Jerome Powell.

Mid week Bloomberg reported that BHP Group has made an unsolicited offer for Anglo American.

BHP Group is the world's largest diversified miner with a market cap of about $150 billion.

The deal could equal $39 billion making it one of the largest mining deals in decades. BHP is interested in Anglo American's copper assets. Anglo American is expected to produce 730–790 kt of copper in 2024 mostly due to operations in Chile and Peru.

With Middle East conflict unwinding, a focus on the Fed could slow gold's momentum.

On Saturday mining audiences manager Michael McCrae recorded Kitco Roundtable.

For now, the Israel-Iran conflict seems to have tamped down, which removes some safe-haven demand for gold and puts renewed focus on the Federal Reserve’s monetary policy.

This week Federal Reserve Chair Jerome Powell surprised markets with a brief hawkish comment. While speaking at an event in Washington, D.C., Powell said that after the release of hotter-than-expected inflation data, the central bank has less confidence it is ready to cut interest rates. A June rate cut is basically off the table, and markets only see a 50/50 chance of a July rate cut.

In mining news the Biden Administration denied the building of an access road to Triology Metals' base metals project in central Alaska. The the Upper Kobuk Mineral Projects is a joint venture with South32 50/50. Triology dropped about 25% for the week.

Gold jumped another 5% this week with June gold futures hitting $2,350 an ounce.

On Saturday mining audiences manager Michael McCrae recorded Kitco Roundtable.

Copper was also on fire, which were up 4.6% for the week to close above $4.20.

The copper miners are up 20% year to date and trading at a 52 week high. Gold miners are up just 10% year to date, according to the GDX.

U.S. job growth blew past expectations in March and wages increased at a steady clip. However the strong job numbers suggest that the Federal Reserve will put off a rate hike to later this year.