The Gold Setup: Long-Term Tailwinds, Short-Term Trap

Gold is caught between macro noise and structural tailwinds

For now, volatile news cycles and headline risks are driving price action, with gold tracking the US dollar and real rates more closely.

UBS argues the likelihood of gold extending its bull run is increasing. Slower growth that triggers fiscal and/or monetary stimulus creates additional upside risk. At the same time, persistent geopolitical uncertainty continues to support strategic demand, as investors look to diversify portfolios.