The rally in metals that seemed inevitable at the end of 2025 has taken a pause. That has some investors wondering if the shine has come off this trade. That might be a mistake. What’s happening in the sector today has more to do with shifting short-term priorities. The long game for gold, silver, and copper remains bullish.
For example, since reaching a high of over $5,500 an ounce in December 2025, the spot price of gold has dropped due to expectations of higher interest rates to tackle inflation, rising real yields, which make U.S. Treasuries more appealing, and short-term profit-taking. The conflict with Iran has also caused many countries to sell gold to bolster their own currencies.
