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Otavio (Tavi) Costa, a portfolio manager at Crescat Capital, said recent inflation data indicate that inflation is likely to remain persistently high for the next decade.
Costa added that central banks will eventually be compelled to cut interest rates in order to keep government borrowing costs manageable. He stated that this combination could have significant implications for hard assets.
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Costa has previously noted that silver prices have lagged notably compared to copper. He has also identified gold miners as having the highest free cash flow yield among U.S. equities. These observations reflect his ongoing focus on hard assets under changing market conditions.