World Gold Council says parts of the physical gold market have weakened: India
and South Korea trading at discounts, Japan showing sporadic selling, and global
gold ETF inflows weak in May. With the Strait of Hormuz standoff ongoing,
official holders could intermittently conduct gold swaps or sales. Near-term
The biggest risk is the energy market—oil is driving inf expectations and bond-yield
moves. If inventories fall and energy prices spike, yields would likely rise
first, lifting the USD and extending gold's current weakness, with any
longer-term safe-haven response to come later.
