Gold and silver remained range-bound this week as calmer geopolitical conditions reduced safe-haven demand, while inflation and higher-for-longer rate expectations continued to limit upside. In the report below, we look at why gold is still finding strong support from central bank buying, how silver’s industrial demand is helping cushion the market, and why the long-term outlook remains constructive despite near-term pressure.

“If you catch 100 red fire ants as well as 100 large black ants, and put them in a jar, at first, nothing will happen. However, if you violently shake the jar and dump them back on the ground the ants will fight until they eventually kill each other. The thing is, the red ants think the black ants are the enemy and vice versa, when in reality, the real enemy is the person who shook the jar.