COMMODITIES MARKETS - Precious Metals
The worldwide macroeconomic and geopolitical influences will continue to affect gold and the wider precious metals in 2018. Gold continues to be an appealing tool to hedge against likely market volatility and geopolitical risks. The price of gold will also depend on the US dollar, the monetary policy and rate hikes by the Federal Reserve. With the dollar on a depreciation trend, investors have been moving their investments to other asset classes like gold and other currencies like the euro.
While Silver markets seemed to remain in its cyclical bottoms since 2015, increasing industrial demand for its photo-voltaic and electronic applications may lift the silver price from its historic low. After lackluster performance last year, platinum prices could fall further, as concerns that platinum demand from the automotive industry will be down.