TD Securities has lifted its outlook for Silver and the platinum group metals (PGMs), upgrading forecasts over the next two quarters and improving its long-term view. The bank flagged Gold’s projected strength and an improving global economy as the key drivers behind the revision.
The upgrade comes despite TD acknowledging near-term correction risks across precious metals, mirroring the setup it sees in Gold. Silver’s structural supply deficit remains a central pillar of the bullish call.
Why It Matters for Australian Traders
Silver’s outlook has direct relevance for ASX-listed miners with silver and PGM exposure, including the diversified majors and mid-cap precious metals names. A sustained move higher in Silver typically supports earnings expectations for these producers and can lift sentiment across the broader ASX materials sector.
For Australian traders running XAG/USD positions or holding AUD-denominated metal exposure, the call reinforces the case for precious metals as a core macro trade โ but only if Gold’s strength holds through any near-term pullback.
What to Watch Next
- Gold’s price action โ TD’s Silver call is anchored to Gold strength, so any breakdown in XAU/USD would weaken the thesis
- Global PMI and growth data โ the upgraded long-term view relies on an improving global economy
- AUD/USD โ a softer US dollar would amplify gains for Australian holders of metals priced in USD
Bias: Cautiously bullish on Silver โ structural deficits and Gold tailwinds support the medium-term setup, but expect volatility near term.
Source: FXStreet