New Delhi, July 22 -- Tata Mutual Fund has recommended a strategic allocation to both gold and silver in investor portfolios, citing a favourable macro environment driven by falling interest rates, dollar volatility, and robust industrial demand-particularly for silver. While gold is seen consolidating in the short term after a strong rally, silver is poised for further gains, supported by both its industrial and precious metal characteristics.

Tata Mutual Fund said that with the U.S. Federal Reserve expected to begin rate cuts, both gold and silver stand to benefit from increased demand amid dollar weakness and global macro uncertainty. Gold, having already rallied significantly, may see short-term consolidation, but its long-term bulli...