Gold: “It's still a bit of a struggle”

Gold remains under pressure despite a rebound: a stock market rally, the AI boom, and rising oil prices are weighing on prices. Michael Blumenroth expects the market to continue trading sideways ahead of key signals from central banks.

June 3, 2026. FRANKFURT (Xetra-Gold). Gold price recovers slightly but remains below key levels.

Prices did manage to recover somewhat from last week’s lows, but failed to break decisively above the $4,600-per-ounce mark at the end of last week. Prices were supported by a further decline in oil prices—particularly last Friday, when Brent crude briefly fell below the $90 per barrel mark on the futures markets. With progress on opening the Strait of Hormuz to shipping from the Middle East still lacking, oil prices climbed back to around $97 per barrel by this Wednesday morning. And gold prices remain true to their pattern: when oil prices rise, gold falls, and vice versa—a trend that can be explained by inflation and interest rate hike expectations rising or falling in tandem with oil prices.

Stock rally and AI boom weigh on demand for gold

The fact that the U.S. S&P 500 stock index closed at a record high for the ninth consecutive day on Tuesday and that investment capital is currently shifting back into the “artificial intelligence” sector could also continue to take some wind out of gold prices’ sails—after all, every euro or U.S. dollar can only be invested once. All in all, the circumstances were therefore not conducive to stimulating a sustained upward trend in gold prices:

Gold Price Continues to Trade Sideways

While gold prices stood at around $4,380 per ounce on Thursday morning of last week, they rose noticeably to $4,595 by Friday afternoon due to falling oil prices and closed the week at $4,540. Since then, the most precious of all metals has been trading sideways between $4,450 and $4,550 per ounce. At the time of writing, it is trading at the lower end of this range, around $4,460 per ounce, due to oil prices rising again on Wednesday morning.

Xetra Gold shows similar price movements

The Xetra Gold price also rose accordingly: During regular trading hours, it climbed sharply from €121.25 per gram last Thursday morning to €126.50 on Friday afternoon. Here, too, the price momentum then ran out of steam, and since the start of the week, the trend has been moderately downward. At the start of trading on Wednesday, the price is expected to be around €123.50 per gram.

Focus on the Geopolitical Situation and Upcoming Central Bank Meetings

The situation in the Middle East remains the most important issue in the markets for the time being. On Friday, the U.S. jobs report could spark some market movement, before the spotlight shifts heavily to the numerous central bank meetings—and thus monetary policy—over the next two weeks.

I wish all readers a relaxing weekend.