Is Liquidity Enough to Support Gold and Silver as War Risks Rise?
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Gold and silver remain volatile as liquidity shifts and geopolitical risks drive a push and pull between safe-haven demand and rising interest rate pressure.
Gold (XAU) and silver (XAG) have shown strong volatility after the recent shift in macro conditions. The prices are reacting to changes in liquidity, rising energy costs and escalating geopolitical tensions in the Middle East. In my view, this combination of gradual liquidity support and war driven inflation pressure sets the stage for mixed and uncertain trend in the near term. This article outlines how these macro drivers, along with silver’s behaviour at key support levels, will shape the next move in precious metals.