Gold slips below $4,300 as record rally fuels smuggling surge

Gold’s record-setting rally has created a hidden downside with a sharp rise in smuggling and illicit trade. After trading near $4,330/oz on June 17, prices slipped below $4,300 on June 18 following Fed signals of possible rate hikes. Executives had already warned on June 18 of a growing crisis, with the World Gold Council estimating annual illicit flows above $120bn. The latest reporting highlights how higher prices are boosting profitability of illegal gold, blurring official data, and exposing supply chains to sanctions and reputational risk.