Gold Tests $4,450 Support as Rising Yields and Oil Pressure Intensify Breakdown Risks

Gold has slipped into a bearish corrective phase in mid-May 2026, testing key supports near $4,450-$4,480 after breaking below early-May lows. The metal has fallen roughly 16-20% from its January peak near $5,600, pressured by surging US Treasury yields above 4.6%, firm oil prices above $110, and a stronger dollar following the US-Iran conflict. Despite near-term headwinds and reduced Fed-cut expectations, major banks including Morgan Stanley ($5,200), ING ($5,000), and MKS PAMP ($5,800 ATH by December) maintain constructive year-end targets, citing resilient central-bank buying and expected monetary easing in 2027.