As of end-June, FxEmpire analyst Arslan Ali says two forces are providing structural support for precious metals: ongoing official buying and tight new-mine supply. Central banks have been diversifying reserves and increasing gold holdings to hedge high public debt and shifting monetary-policy risk, creating a relatively independent, persistent source of demand. New-mine output for gold and silver remains constrained: gold production has not meaningfully increased since its prior peak due to agi

As of end-June, FxEmpire analyst Arslan Ali says two forces are providing structural support for precious metals: ongoing official buying and tight new-mine supply. Central banks have been diversifying reserves and increasing gold holdings to hedge high public debt and shifting monetary-policy risk, creating a relatively independent, persistent source of demand. New-mine output for gold and silver remains constrained: gold production has not meaningfully increased since its prior peak due to aging mines and rising extraction costs; silver faces similar supply pressure but is partially offset by byproduct output from other metals. On the demand side, silver’s industrial use remains strong—notably in photovoltaic (PV), electronics and electric-vehicle (EV) manufacturing—reinforcing structural upside amid the energy transition; silver also retains monetary-asset attributes. Investor demand from ETFs and physical holdings provides an additional stable base for both metals.