Summary

• Gold initially witnessed a parabolic run, smashing through psychological barriers to crest near an unprecedented $5,589 per ounce by late January.
• By disrupting oil flows, the U.S. engineered a scarcity that forced nations to scramble for dollars to secure energy lifelines, effectively crushing gold's appeal.
• Despite this orchestrated sell-off, gold bullion secured a net gain of +6.7% for the quarter, while mining equities posted a +9.7% return.
• WTI crude, which opened the year near $72, spiked to secure a massive 76.6% total return for the quarter, while the Energy Select Sector Index (IXE) rallied 37.9%.
• Volatility levels at the end of the first quarter were up sharply, with the gold sector increasing to 53%, the base metals sector to 44%, 32% for agriculture, and 28% for energy equities.

Investment Discussion

The first quarter of 2026 stood as one of the most volatile periods for precious metals in modern memory. Gold initially witnessed a parabolic run, smashing through psychological barriers to crest near an unprecedented $5,589 per