Analyst: Interest Rate Repricing May Suppress Gold Prices, But Structural Logic for Gold Remains Unchanged

Golden Ten Data reported on March 4 that eToro analyst Josh Gilbert stated in a commentary that the repricing of interest rate expectations may pose resistance to gold prices. The surge in energy prices related to the Middle East conflict is forcing investors to reassess the pricing of two Federal Reserve rate cuts this year. He noted that a stronger dollar and rising bond yields represent a typical "double headwind" for gold, which may be enough to offset the safe-haven support gold usually receives during geopolitical crises. However, the structural logic for gold remains unchanged, as central banks continue to purchase gold and fiscal deficit issues remain prominent.