Merian's Naylor-Leyland on the opportunities in precious metals

Gold and silver investors have faced a relentless headwind of hawkish forward guidance from the US Federal Reserve for around six years.

Finally, this headwind has switched to a tailwind, albeit a light one, and as a result, the opportunity set looks much more interesting for these monetary metals.   It is important to remember that gold and silver are currencies. In contrast to popular thinking, traditional fiat money is always in a drawn-out bear market against gold. However, as in any bear market, this trend is punctuated by relatively short and sharp relief rallies. Investors turn to gold amid stockmarket volatility In the context of the monetary system, a relief rally tends to last about four to seven years,...