Gold at a Crossroads: Momentum Fades or Prepares for Next Rally?
Gold’s meteoric first-quarter performance—one of its strongest in nearly 50 years—has hit a snag. Prices retreated 8% from the all-time high of $3,505 to $3,250, leaving investors questioning whether the rally has exhausted itself or merely paused.
The pullback coincides with easing geopolitical tensions, including US-China trade détente and Russia-Ukraine ceasefire talks. These macro developments traditionally reduce safe-haven demand. Yet the yellow metal’s long-term fundamentals remain intact, with central bank buying and inflation hedging likely to resurface as drivers.