You may have noticed increasing talk of a confrontation with Iran. While economic warfare with Iran has been US policy for some time, there have been reports of new White House conversations about a possible strike on the Iranian nuclear site at Natanz. Often leaks of that sort are simply part of diplomatic maneuvers. But we have warned of the risk of an accident or incident in the Persian Gulf. False flag provocations are always possible.
We are not specifically predicting a skirmish or something more in the coming weeks but will refer you to our 2019 commentary Temperature Rising in the Persian Gulf for a suggestion of what could happen around the Strait of Hormuz and how it would affect precious metal prices.
This is something we are continuing to keep an eye on, and we think investors should as well.