Gold Sees 12% Upside as Central Banks Boost Buying

Emkay Wealth Management has forecasted a 12 percent growth potential for gold in the coming months, citing steady buying from central banks and shifting interest rate trends. This optimism is tempered by short-term price pressure due to recent profit-taking.

The support for gold comes from its increasing popularity among central banks, which are consistently adding to their reserves. Additionally, the expectation of global interest rate cuts makes gold more attractive to investors as other safe investments offer less return.

Silver, on the other hand, is experiencing higher price volatility due to its sensitivity to changes in economic demand. It faces technical difficulty in moving past the $68 to $74 per ounce price range, making it a riskier investment for those considering silver.