Gold Drops as Oil Takes the Spotlight, Goldman Sees Dip as Opportunity

Gold prices have fallen as gold’s traditional hedge against a stronger dollar wanes amid tighter financial conditions and position unwinds. Goldman Sachs argues crude is the lead driver for markets, lifting near‑term oil forecasts after disruptions in the Strait of Hormuz, withOil near 110 (XBR/USD) in the near term and 2026 forecasts of Brent around 85 and WTI around 79. The pullback in gold is not seen as a lasting shift in the long‑term thesis; instead, it’s viewed as a potential buying opportunity for long‑term investors, albeit with near‑term volatility likely as derivatives moves and energy-price dynamics play out.