The US economy has documented a striking surge in its precious metals sector. The prices of gold, silver, and copper are touching new highs, compelling investors to deeply explore the realm and bask in the probability of attaining long-term “stable” profits.
The rise in prices of precious metals signals the onset of a changing market narrative, where investors are keen to explore robust investment alternatives as compared to riskier, more volatile ones.
This pivot is primarily triggered by the erosion of US economic metrics, the loss of consumer faith in the USD, and inflating debt metrics, which could trigger a potential collapse of the US market and its economic prowess.
Also Read: Silver Trends Amid Gold’s Price Hike: Why is Silver Rising?
Gold is currently showing signs of consolidation, signaling a brewing bullish outbreak. The price of gold at press time is sitting at $2,379, up 0.77% in the last 24 hours. Per Trading View’s user sentiment index, the tool points towards a “strong buy” signal, suggesting that investors are keenly exploring gold in all its forms.
The new price threshold for gold has been predicted to breach past $2,500, given that it continues to follow its current progressive course.
Gold is consolidating gains before moving onto the next target $2,500 + pic.twitter.com/r2Ufk5Z5aq
Similarly, the gold price surge has primarily gained momentum due to the demand spurred by global central banks. These global banks are driving the price of gold to touch new highs with their continuous buying spree.
“The CB Quarterly Gold Consumption has skyrocketed since early 2022. In fact, the PBOC has now bought gold for a straight 17 months, and the Russian Central Bank will accelerate the buying from this month (the price goes up, so their FX goes up). We can see parabolic moves if the retail crowd in the West also jumps in!.”
Everybody Is Asking The Question:
Who Is BUYING GOLD?!
Well, folks, the answer is that it's none other than the Central Banks which have been buying the shiny yellow metal in hordes.
The CB Quarterly Gold Consumption has skyrocketed since early 2022.
In fact, the… pic.twitter.com/2iP7xKgPxp
Similarly, the price of silver and copper is also touching new price milestones. Per Game of Trades, a notable financial panel on X, Silver has broken past a critical price level, which will help its prices skyrocket and establish a new price marker.
Also Read: US Economy: Oil, Stocks, and Crypto in Jeopardy Amid a Rising Geopolitical Storm
ALERT: Silver has finally broken out of a critical resistance line
When Silver moves, it can move VERY quickly
Actively watching the technicals here is very important if investors want to capture the sharp up moves pic.twitter.com/u30GnUX2Vg
The price of copper, on the other hand, has also gained momentum, suggesting a new price milestone for the metal to breach and sit at.
“There are many reasons to be bullish on copper for the long term, and one of them is this structural supply deficit, which, when combined with the lack of exploration and production that we’ve seen, suggests that prices could appreciate more from here with sufficient demand.” One analyst panel of X shared.
However, the high prices of silver and copper also signal a looming inflation crisis. Per Vlad Bastion, a notable financial analyst on X, rising copper prices can bring in an economic crisis for technical sectors.
This can primarily be triggered by copper’s extensive demand aiding the manufacturing sector. High copper prices can signal a slow economic progression, hampering technological and sectoral development in the US.
Also Read: Gold’s Increasing Price Momentum Spells Trouble For The US Economy
🥉 Copper prices are signaling accelerating inflation.
Copper is widely used across major sectors of the global economy, so its price movements tend to precede changes in broader consumer prices and economic activity.
In April, metal prices reached their highest level since the… pic.twitter.com/XlKDnBO6fg
Disclaimer: Our articles are NOT financial advice, we are not financial advisors. All investments are your own decisions. Please conduct your own research and seek advice from a licensed financial advisor.
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