Analysis-Gold's record rally falters as bulls run into Fed rate expectations, stronger dollar

Gold's record rally falters as markets price in Fed rate hikes and a stronger dollar, tempering the bullion’s ascent. Spot gold sits near $4,188 per troy ounce after dipping to $4,022, with a 25% decline from January’s peak. Traders point to a shifted dynamic as a firmer dollar and higher rate expectations dampen demand for bullion as a safe haven. Some see a bounce if Middle East tensions ease and oil retreats toward $80 a barrel, but longer-term support remains as fiscal deficits widen and geopolitics stay volatile. Technically, gold faces resistance near the 200-day moving average around $4,446, while ETF losses exceed 270 tonnes below $4,250.