Why is Gold Getting Stronger?
In a recent interview, UBS precious metals strategist Joni Teves explained that ongoing global macroeconomic uncertainty is driving strong demand for gold as a hedge asset. Institutional investors, retail buyers, and central banks worldwide are increasing their gold holdings to manage risk.
She noted that gold’s safe-haven appeal is growing. If concerns over the Federal Reserve’s policy independence continue to rise, gold prices may surpass $5000/oz in the first half of this year.
Outlook for Silver and Copper Markets
Gold’s upward trend is also benefiting silver. Rising gold prices, coupled with a narrowing supply-demand gap, suggest silver could reach $100/oz this year.
- Silver gains from gold’s momentum
- Improved fundamentals support higher prices
- Copper driven by energy transition demand
For copper, the energy transition and push for green infrastructure are tightening supply and demand, potentially lifting the price ceiling and creating new investment opportunities.