April PCE Surge to 3.8% Weakens Gold Safe-Haven Bid

Fresh US airstrikes on Iranian sites near Bandar Abbas escalated the three-month conflict on May 28, further disrupting Strait of Hormuz traffic and lifting energy prices. The resulting April PCE print hit 3.8% year-over-year, the highest since May 2023, with core PCE at 3.3%. Markets responded with a firmer dollar and higher Treasury yields, causing Bitcoin to slide and gold demand to weaken despite ongoing geopolitical risks. The data also pushed the personal saving rate down to 2.6%, adding pressure on consumer resilience and keeping the June Fed meeting in focus.