Is it time to buy gold?
The precious metal experienced an extraordinary run through 2025 into early 2026, rising from $2,600 per ounce to an all-time high of $5,608 per ounce. However, nothing goes straight up or straight down in the markets. And after a rally of this magnitude, it would make sense for gold to spend some time cooling/ consolidating.
However, I don’t think even the gold bears anticipated gold struggling as much as it has in 2026. The precious metal briefly bounced along with stocks in late March/ early April, however since that time gold has fallen for six weeks straight!
Sentiment is reaching extremes in terms of pessimism. The Gold Miners Bullish Percent Index recently plunged to 0%. To put that into perspective, it’s a lower reading that that recorded at the bottom of the pandemic lows!
This kind of extreme reading, combined with the length of gold’s decline (over three months) has usually marked a lot, if not THE low. These kinds of situations don’t last for long. Capital flows to where it’s treated best, and precious metals miners are one of the most profitable, undervalued sectors in the market.
