UBS precious metals strategist Joni Teves stated during a media call on Tuesday that the bank maintains its year-end forecasts for gold and silver prices unchanged, expecting them to reach $5,600 per ounce and $100 per ounce, respectively, as the fundamental factors supporting precious metals remain intact.

Teves noted that gold prices have been under pressure since the outbreak of the Iran conflict, but rising inflation combined with the Federal Reserve's decision to keep interest rates unchanged has compressed real interest rates, which will provide support for gold.

Teves added that purchases of gold by both retail and institutional investors indicate that the theme of "diversification" remains robust.

She stated that global central banks are "unlikely" to stop buying gold and are also unlikely to sell gold directly.

UBS believes that the consolidation in gold prices in recent weeks has allowed investors to rebuild their positions, and there is potential for gold prices to exceed the bank's forecast levels.

UBS also expects silver to benefit from the rise in gold prices while being supported by its own fundamentals.

The bank noted that silver demand may exceed supply this year, with strong investment demand from China, India, and the Middle East.

Note: On Tuesday, spot gold traded near $4,725 per ounce, while silver was around $86.28 per ounce.