Gold is under short-term pressure from surging U.S. yields and USD strength. With investors pricing in higher future borrowing needs and reduced tariff income, bond markets are bracing for more supply — sending yields up. This is typically bearish for gold, which competes with yield-bearing assets. Additionally, USD appreciation makes gold more expensive for non-dollar buyers. Unless broader risk sentiment deteriorates sharply, gold may remain capped in the near term.

Key Catalyst: Higher yields and stronger dollar = short-term headwind for gold prices.

SHORT XAUUSD

Jun 03 2025