Gold needs these 3 catalysts to start climbing again

Gold prices have slipped to a multi-week low as the metal continues to struggle for direction in a macro environment still dominated by elevated real yields, a firm dollar and shifting inflation expectations.

XAU/USD prices fell 0.9% today to trade below the $4,300 handle, while Gold Futures are down as much as 1.2%.

“We reckon the next support is at $4,000,” Yardeni wrote in a note.

The pullback reflects a market where safe-haven demand has not been enough to offset the drag from tighter financial conditions and lingering uncertainty around the policy path of major central banks.

Jefferies analyst Fahad Tariq argues that while gold has lagged sharply behind other commodities this year, the longer-term structural case remains intact. The broker points to a clear divergence in performance, with Copper Futures up around 15.6% year-to-date versus gold’s roughly 3.5% gain.

Copper has been supported by strong U.S. industrial demand, scarcity value and supply security concerns, while gold has underperformed despite its traditional role as a hedge against inflation and currency debasement.

The near-term weakness in gold is largely tied to macro headwinds. Higher U.S. interest rates and expectations that policy will remain restrictive for longer have reduced the appeal of non-yielding assets. At the same time, stronger oil prices have complicated the inflation outlook, keeping central banks cautious about signalling early easing. A resilient dollar has added another layer of pressure by making gold more expensive for non-U.S. buyers.