If 2025 was bad, 2026 has started on a much worser note. In the very first fortnight of Jan 2026, geopolitical risk has become the primary catalyst driving gold toward the $5,000/oz milestone. Recent developments with respect to Greenland and the EU-US standoff suggest that further escalation of the current "trade war" and leadership crises could very well propel gold an additional 15% to 30% from current levels defined by three critical geopolitical and macroeconomic drivers viz. Tariff Escalation through the 10% set for 1-Feb rising to 25% in June if US bid for Greenland is blocked; risk of retaliation by EU & impact on gold:m due to eroding confidence in the dollar.
To add to this confusion, we have the threat on Powell, again cause by Trump. Also the targeting of BRICS. So, all in all, perfect indications for a perfect storm! Hence, the thrust towards gold!!
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