Gold Could Face Headwinds From Repricing of Interest-Rate Expectations — Market Talk

The repricing of interest-rate expectations could pose headwinds for gold prices, eToro’s Josh Gilbert says in a commentary. Surging energy prices tied to the Middle East conflict are forcing investors to rethink pricing in two Federal Reserve rate cuts this year, the analyst says. A stronger dollar and rising bond yields are a classic double headwind for gold and could be enough to overwhelm the metal’s safe-haven status, which normally supports it in geopolitical crises, he adds. Still, the structural case for gold hasn’t changed, as central banks continue to buy the metal and concerns around fiscal deficits remain firmly in place, he says. Spot gold rises 1.7% to $5,173.70 a troy ounce