As the Federal Reserve maintains a dovish tone, bond yields have risen and the dollar remains strong. As a result, while forecasts on gold have lowered, the risk that central banks may have overdone it could send its value soaring —especially if inflation remains elevated while economic growth continues to hurt.
Silver should remain fairly in sync with gold in a base case where inflation moderates without a recession. However, a contraction in the industrial sector could hit it disproportionately.
