Gold Is Well Off the Record High It Hit in January. Is It Time to Buy the Dip?

Gold had a remarkable 2025, rising about 72% and pushing above $5,000 before hitting a late-January peak near $5,600. Since then, the metal has retreated to under $4,400, a roughly 22% decline. The pullback comes as inflation remains persistent and the Federal Reserve stays hawkish, lifting rates and supporting the dollar, which typically weighs on gold. A key driver has been central-bank buying in prior years and geopolitical tensions, including a war in the Persian Gulf that boosted the dollar by about 3% since it began. In the near term, gold’s path hinges on macro forces and the Iran war’s trajectory.