Synopsis:

Bank of America remains bullish on gold as a hedge, but recommends waiting for a pullback before adding to long positions due to stretched momentum and positioning.

Key Points:

• Gold is still a good hedge, especially amid elevated macro uncertainty and geopolitical risk.

• However, recent price action has left positioning and momentum stretched, raising the risk of a near-term correction.

• BofA sees a dip into the $3,000–$2,800/oz range as a more attractive entry point for long positions.

Conclusion:

BofA advises patience for gold bulls. While the long-term case for gold remains intact, a short-term correction would offer a more favorable opportunity to build or add to positions.