While silver is down from Monday’s high, Hansen said that it is still holding above crucial support following its breakout.
“Silver has shown before what it can do when finding momentum.
“Rising growth expectations together with the prospect for governments supported infrastructure plans, as well as the green transformation and reflation focus, have all helped drive a strong rally across industrial and platinum group metals in 2021.
“The renewed pull from surging industrial metals can be seen through the gold-silver ratio, which has been in a downtrend during the past month.
As to what will propel gold prices higher, Hansen said that he continues to watch historically low real bond yields and higher breakeven rates in the bond markets.