Parabolic precious metals gains snapped as margin hikes and crowded positioning triggered historic single day plunges, prompting this update to evaluate the outlook for gold and silver.
This PERSPECTIVES Viewpoint Commodities – Welcome correction in precious metals prices dives into the forces driving volatility, opportunity, and risk across the commodity spectrum.
Key takeaways
- Precious metals euphoria deflated as speculation, margin hikes and heavy positioning forced a sharp unwind.
- Gold’s engines – safe haven demand, strong central bank buying and geopolitical strains – keep the long-term outlook intact.
- Silver looks more fragile, with speculative excess unwinding and fundamentals already stretched.
