The calm in gold and silver prices is temporary, as their momentum remains strong.

The gold and silver markets witnessed a historic week, with prices soaring to new record highs — surpassing $4,000 per ounce for gold and $50 for silver. Despite the strong momentum in precious metals, some analysts have warned of a possible short-term price correction.
Although gold failed to maintain its gains above the $4,000 level, it is on track to post its eighth consecutive weekly increase, while silver also extended its gains for the eighth week, jumping 71% since the beginning of the year.
Analysts believe that rising industrial demand for silver has allowed it to outperform gold. Meanwhile, potential de-escalation in the Middle East could temporarily reduce gold’s appeal as a safe haven.
Experts such as Lukman Otunuga of FXTM and Michele Schneider of MarketGauge expect a short period of correction and consolidation before another upward rally.
Data from the World Gold Council shows that investment demand in gold-backed ETFs rose to around $26 billion in the third quarter.
According to Christopher Vecchio of Tastylive.com, the drivers behind gold’s rise remain intact, while Paul Williams of Solomon Global notes that market momentum remains strong, supported by weak confidence in fiat currencies and growing investor interest in tangible assets.