World Gold Council: Gold Holdings Remain Low, but Caution Needed for Overvaluation and Macro Risks

Odaily News The World Gold Council points out that a significant divergence currently exists between confidence in the economic outlook and uncertainty regarding economic policies, which is one of the key reasons for gold's strong performance over the past year and its continued good performance year-to-date. While some may worry about gold being overbought and potentially struggling to find buyers for small-scale investments, from a strategic perspective, gold holdings remain low. Currently, the core issue facing investors is how to rationally allocate their portfolios between market outlook certainty and policy uncertainty. Indeed, investors can and should recognize the monetary and fundamental factors driving the market rally—especially with more easing policies expected in 2026. However, overvaluation and persistent macro risks require cautious treatment, highlighting the necessity for a diversified portfolio. As geopolitical shifts and U.S. policy changes continue to impact asset allocation, we believe attention should be paid to high-quality assets, such as gold. (Jin10)