CPM Group’s Jeffrey Christian unveils CPM Group’s Outlook for Gold and Silver heading into the second quarter of 2023. He discusses the importance of seasonality compared to global economic and political events as well as gold and silver investment demand and available supply.
Jeff also discusses Central Bank activity and whether they are buying gold and “dumping the dollar”
Generally some factors that have impacted gold and silver prices in recent years include
Economic uncertainty: Economic uncertainty is a significant factor that influences the demand for gold and silver. The global economy has been volatile in recent years, leading to increased demand for gold and silver as safe-haven assets. The COVID-19 pandemic has also contributed to economic uncertainty, leading to further demand for gold and silver.
Inflation: Inflation is another factor that has a significant impact on gold and silver prices. As the inflation rate increases, investors tend to move their money into precious metals, leading to a rise in demand for gold and silver.
Monetary policies: Central banks play a critical role in determining the demand for gold and silver. When central banks introduce policies such as quantitative easing, the demand for gold and silver tends to increase.
Geopolitical tensions: Geopolitical tensions can also impact the price of gold and silver. When geopolitical tensions rise, investors tend to move their money into safe-haven assets like gold and silver.
Supply and demand: The supply and demand for gold and silver also have a significant impact on their prices. Any change in the supply or demand of these metals can lead to a change in their prices.