Currency Debasement Hedge
With the US Dollar posting its biggest single-day decline in six weeks, gold has become the primary beneficiary. The inverse correlation between the greenback and bullion has strengthened, turning gold into the ultimate hedge against currency debasement amidst ongoing Fed policy uncertainty.
Institutional FOMO
Institutional funds are reportedly re-allocating capital away from equities and into hard assets. This 'fear of missing out' is accelerating the rally, as portfolio managers rush to hedge against potential geopolitical escalations in South America over the weekend.