TechFlow News, March 23: According to JINSHI Data, Investinglive analyst Justin Low stated, “Precious metals have been hit by multiple adverse factors, and the situation is growing increasingly difficult.
The first adverse factor is a major shift in the overall market outlook. For over two years, precious metal prices have risen primarily on the key bullish driver of central banks cutting interest rates. However, the situation has now completely reversed. With mounting inflation concerns, central banks are forced to pivot rapidly toward rate hikes—a significant shift in market sentiment toward precious metals.
The second factor stems from the technical perspective: both gold and silver prices have broken below their respective 100-day moving averages.
Additionally, the third factor involves increased positioning in bonds and equities. Over the past year, precious metals have been a favored leveraged investment vehicle.
Yet, when confronted with large-scale market sell-offs—especially those that appear likely to severely impact equity markets—we must remain highly vigilant about margin call requirements.”
