Precious metals are trending lower due to increased uncertainty abroad and the lasting effects of the Fed interest rate hike from last week.

While much of this market activity isn't necissarily a surprise, it is worth noting that precious metals have continued to move lower despite much of the rate hike news being "priced in".

I believe this downward trend is due to the uncertainty that continues to surround the Fed interest rate hike process. The FOMC has made an overarching plan to increase interest rates slowly, a quarter point at a time over the next few years. Investors know this, but in true FOMC fashion, their language always leaves room for interpretation. This downward trend tells me that the market believes more rate hikes are coming this year.

Increasing the complexity of this situation is instability in the EU. Brexit is still foremost in everyones mind, terriorist attacks continue to plague the U.K., the snap election fiasco leading to a "hung parliament", and the ongoing financial troubles in Italy and Greece. Add to that the continued instability of the Middle East, and it makes me think that despite being somewhat lower, the precious metals market has done an excellent job weathering the storm.

We will continue to keep an eye on the markets and let our readers know whenever there is newsworthy market movement.

Have a wonderful rest of the day!