Gold falls back toward USD 4,040/50 levels
Gold has retreated back toward USD 4,040/4,050 after briefly trading above 4,160 as Brent surged past USD100 and the Dollar and US yields climbed.
The metal’s tentative recoupling with geopolitical risk remains fragile, with gold still trading mainly through the Oil and rates channel and facing two-way risks around nearby support and resistance.
Losses were also broad-based across the precious metals complex, as silver, platinum and palladium fell.
The reversal suggests the earlier signs of gold recoupling with geopolitical risk were not yet durable, with the metal remaining sensitive to further increases in oil, yields and rate expectations.