Forget artificial intelligence (AI) stocks - the precious metals space is in the midst of a seriously impressive rally, with gold futures (GCM24) hitting new highs above $2,400 and silver (SIK24) now knocking on the door of $30. The big gains are being driven by stubbornly hot inflation, with rising prices expected to delay those Fed rate cuts until later in the year - or possibly push them all the way out into 2025.
And now, Bank of America has hiked its forecasts for precious and industrial metals, citing the increasing demand and supply constraints. The analysts see gold averaging $2,500 in Q4, and they expect silver to outperform gold on surging industrial demand. Plus, with geopolitical conflicts heating up, investors are hungrier than ever for safe havens.
