Metal Prices Supported by Central Bank Buying and Demand from China and India
What happened
Analysts at National Bank Financial view the backdrop for metal prices as supportive, citing strong central bank buying, physical demand from China and India, and heightened geopolitical uncertainty. The analysts also noted continued inflationary pressures on costs within the sector.
From theglobeandmail.com
Why it matters
The analysts upgraded their price decks for all metals and foreign exchange rates, increasing gold price assumptions to US$4,700 per ounce for 2027-2028. Furthermore, they raised the long-term gold price to US$3,400 per ounce starting in 2032.
From theglobeandmail.com
Who's involved
- central bankEngages in robust buying that supports metal prices.
- ChinaProvides physical demand for metals.
- IndiaProvides physical demand for metals.
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
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The entities involved
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central bank
public institution that manages a state's currency, money supply, and interest rates
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China
cultural region, ancient civilization, and nation in East Asia; mostly refers to the People's Republic of China in political situation and rarely refers to the Republic of China