This is not how gold is supposed to behave during genuine geopolitical crises!
When the ultimate “safe haven” asset fails to rally on news that should send it to the moon, that’s not just disappointing – it’s a screaming sell signal.
The market is essentially telling us that when faced with what could be the most serious geopolitical crisis since the Cuban Missile Crisis, gold investors are selling, not buying. This suggests that whatever underlying bearish forces have been building in the gold market are so strong that even the threat of World War III can’t overcome them.
I’ve seen this pattern before – when an asset fails to rally on what should be its most bullish possible news, it usually means much lower prices are coming. It’s like a rocket that fails to launch despite having maximum fuel – something is fundamentally wrong with the engine.
Is a Bigger Slide About to Begin?
The implications are profound. If gold won’t rally when the U.S. is literally bombing nuclear facilities and threatening to spark a regional war, what exactly WOULD make it rally? The answer might be “nothing” – at least not for the foreseeable future.
Did mining stock investors saw that coming?
