Spot gold plunged on Jan. 30 and was poised for its biggest single‑day loss since 1983 after the U.S. dollar strengthened when President Donald Trump announced his choice for Federal Reserve chair. By 12:30 p.m. ET (1730 GMT) spot gold had fallen 8.9% to $4,915.17 per ounce, slipping to an intraday low of $4,898.89; silver was tracking what Reuters described as its worst day on record.

  • Price: $4,915.17 per ounce at 12:30 p.m. ET (1730 GMT)
  • Daily move: down 8.9%, intraday low $4,898.89
  • Metals: gold and silver; silver headed for record selloff
  • Date: Jan. 30 — market reaction followed announcement of a Fed‑chair choice
  • Region: US dollar strength cited as the trigger

Context: monetary policy and precious‑metals volatility

The move came as the dollar strengthened after the presidential announcement, tightening the conventional inverse relationship between the greenback and bullion prices. For precious metals this is a classic liquidity response: when the dollar rises on perceived tighter future U.S. policy or a recalibration of rate expectations, dollar‑priced commodities often reprice lower in short order. The scale of Friday’s drop — marked in Reuters as the steepest daily decline for gold since 1983 — underscores how sensitive bullion is to sudden shifts in central‑bank outlooks and currency flows.

Impact: what US jewellery retailers, wholesalers and investors should do

For the trade, an abrupt 8.9% intraday fall is an operational as well as a market event. Retailers and wholesalers need to assess inventory valuation and margin exposure immediately: unhedged stock purchased or priced at higher gold‑in‑market levels can compress margins on substantial‑heft pieces such as heavy chains or wide bands. Conversely, sourcing opportunities appear for merchants willing to reprice or replenish inventory—particularly on satined‑finish gold chains, knife‑edge shank engagement styles and open‑backed settings where metal weight is a key cost component.

Silver’s sharp selloff carries separate implications for fashion and silverware lines: replacement cost and scrap values can swing quickly, affecting reorder points for items in sterling and argentium. Buyers and merchandisers should tighten live‑pricing controls, review supplier lead times and reconsider fixed‑price promotions that assume stable metal costs.

Risk management steps for the US trade include short‑term hedging where available, reworking markup strategies on weight‑sensitive SKUs, and updating online pricing to reflect spot moves. Marketing should favor craftsmanship and finish—micro‑pavé setting integrity, silky nacre contrasts for mixed‑metal pieces—over metal‑value claims until the market settles. For investors, the event is a reminder that bullion can move sharply on monetary policy headlines; position sizes and liquidity plans should reflect that volatility.

Image Referance: https://www.msn.com/en-us/money/markets/gold-set-for-steepest-daily-drop-since-1983-silver-eyes-worst-day-ever/ar-AA1Vlct8?ocid=finance-verthp-feeds