Gold Price Forecast – Is Gold Bottoming as War and Fed Policy Drive Market Volatility?
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Key Points:
- Gold has rebounded from a major support level after a sharp selloff, but the broader trend remains under pressure due to higher yields and a strong dollar.
- Precious metals declined after the US–Iran war, with gold holding up better while silver and palladium faced the biggest losses.
- Weak sentiment in mining stocks and strong macro headwinds suggest gold is still in a stabilization phase before its next major move.
Gold (XAU) price rebounds from the strong support of $4,100 after the sharp selloff this week. The spot gold price has recovered to $4,500 and is looking for next direction. However, the bigger picture still indicates price pressure in the short term. In my opinion, gold is entering a stabilization period where high yields, a strong dollar and continued geopolitical tensions are driving markets. This article outlines the key macro drivers, precious metals performance and signals coming from related markets which will determine next move in gold.