Engineer Mohannad Abbas Haddadin, GM of Jobkins Center for Strategic Studies, an expert, strategic and economic analyst, said that what happened today in the resounding fall in Gold and Silver prices amid anticipation of geopolitical tensions and the possibility of a war in the Middle East did not have an impact either by detente or by stalemate.
اضافة اعلان
The first reason is that US President Trump is determined to change the head of the US Federal Reserve, with a new president, Kevin Warsh, following his decisions for the US supreme interest, the policy of which is managed by President Trump regardless of economic data that works on a real reform of the US economy, which means that the US economy will lose its compass in the coming period, which the current president Jerome Powell has worked hard for three years to fix inflation, which means losing investor confidence in the upcoming economic data and this will put pressure on financial markets and currency markets, most importantly Gold and Silver.
The second reason is the justified rise of Silver over the past year due to its increasing uses in industry and the great demand for it, both in bank reserves as a safe haven next to Gold, in addition to the rush of citizens in the world to buy it as an alternative to Gold for some, and what made it worse was the fact that major companies and investors flooding the markets with Silver for fear of getting involved and making fast profits , because the already existing Silver actually no longer covers paper contracts.
Therefore, we advise to avoid speculation and maintain the investment of Gold and Silver in the medium and long term, because the reality will impose itself and the demand for Gold and Silver will increase in the coming period, whether from the hedges of international banks or safe savings of sovereign funds with increased demand from citizens in light of the upcoming fog that will accompany the global economy.
