🥇 GOLD IS FACING A NEW PROBLEM
$XAU
Gold has been one of the biggest winners this year, but it's now facing pressure from rising bond yields.
Gold recently fell toward $4,384/oz, while traders are increasingly pricing in a chance of a Fed rate hike next week.
Higher interest rates generally make non-yielding assets like gold less attractive.
But geopolitical tensions and inflation concerns are still supporting demand for safe-haven assets.
So gold is caught between two forces:
📈 Geopolitical risk + inflation
📉 Higher interest rates + bond yields
Which side wins from here? 👇
Not financial advice. DYOR.
$XAU
Gold has been one of the biggest winners this year, but it's now facing pressure from rising bond yields.
Gold recently fell toward $4,384/oz, while traders are increasingly pricing in a chance of a Fed rate hike next week.
Higher interest rates generally make non-yielding assets like gold less attractive.
But geopolitical tensions and inflation concerns are still supporting demand for safe-haven assets.
So gold is caught between two forces:
📈 Geopolitical risk + inflation
📉 Higher interest rates + bond yields
Which side wins from here? 👇
Not financial advice. DYOR.