Gold prices recently fell below $5000 after peaking at around $5600 per ounce at the end of January and then dropping to the $4400 range. As the value of the dollar remains strong, highlighted by the nomination of hawkish former Fed official Kevin Warsh as a candidate for the next Fed chair, precious metal prices such as gold and silver have continued to face pressure. Reports from MarketWatch indicate that as of February 17, gold futures for April delivery were trading at $4905.50 per ounce, marking a 2.8% decline in one day.

The fluctuations in gold prices have been drastic, as evidenced by the rapid rise to $5626.8 on January 29, followed by a sharp drop to $4423.2 just days later. The market reacted to profiteering from the previous price spikes, contributing to this volatility. Following a recovery to $5144.5 on February 11, gold prices are again on the decline, resisting previous gains due to the dollar's continued strength. The ICE DXY index, which measures the dollar's value against six major currencies, rose slightly from 96.28 on January 29 to 97.13 on February 17, reflecting this trend.

Similar patterns were observed in the silver market where prices soared to $121.785 on January 29 but later plunged to $63.9 on February 6 before recovering to around $86 on February 11, only to fall again to $73.54 by February 17. The ongoing fluctuations in both gold and silver highlight the uncertainty in the commodities market as traders navigate through the implications of Federal Reserve policies and the strength of the dollar.