While gold is holding up, I'm still seeing a few potential headwinds: * Rising Real Yields: If inflation expectations dip while nominal yields stay high, real yields increase, making non-yielding gold less attractive. * Dollar Strength: Continued dollar strength, as seen today, could eventually cap gold's upside. Keeping an eye on 10-year TIPS.
Dollar strength seems to be capping gold's upside today. $XAUUSD gains are limited given the greenback's resilience.
Interesting to see WTI breaking lower again today, now around $74.27. We had that brief bounce, but it looks like the underlying sentiment is still very bearish. Are we seeing technicals dictating price action more than the fundamental supply/demand picture currently? Seems like demand concerns are still the primary driver, outweighing any potential supply disruptions.