America at Risk

A recent bipartisan report highlights escalating geopolitical tensions that pose serious threats to global stability, which may drive demand for gold and silver. The report, issued by a congressionally appointed commission, warns that the U.S. faces its most severe threats since 1945, including the potential for near-term conflict. It emphasizes growing tensions with China, Russia, and Iran, which form a troubling "axis of malign partnerships" against the United States.

These rising risks contribute to economic instability, raising energy prices and shipping costs, while threatening critical supply chains, including Taiwan's semiconductor industry. This climate of uncertainty often bolsters demand for safe-haven investments like gold and silver.

As a result, gold is likely to see continued increased demand as a hedge against geopolitical volatility, especially as the possibility of conflict persists in key regions. Similarly, silver, with its dual role in industrial applications and as a safe-haven asset, may also benefit from heightened investor interest. Investors should closely monitor geopolitical developments, as ongoing instability could further elevate precious metal prices in the months ahead.

The commission's report delivers a stark conclusion: America is not adequately prepared to face the growing threats from adversarial nations like China, Russia, and Iran. Significant advancements in military technology and strategy by these nations have left the U.S. falling behind in key areas such as military investment, industrial capacity, and national unity. The report warns that without immediate action to strengthen defense capabilities and address political divisions, the country may struggle to deter future conflicts.