AXMIN Inc (TSXV: AXM)
AXMIN Inc. (TSXV:AXM) is a Canadian-based exploration and development company with a strong focus on central and West Africa.
Gold prices surged in the first half of 2025, breaking above $3,000 per ounce in mid-March and peaking at a record $3,500 in April—marking a 25% year-to-date gain. However, momentum slowed in Q2, with prices consolidating near $3,350 by June amid easing Middle East tensions and shifting Federal Reserve rate expectations.
Analysts now anticipate a period of sideways trading or even a pullback in H2, though the long-term bullish trend remains intact.
Safe-Haven Demand Moderates：Risk appetite has rebounded as the S&P 500 recovers, potentially reducing gold’s appeal. However, lingering geopolitical risks (Ukraine war, Middle East tensions) should limit downside.
U.S. Fiscal Concerns & Dollar Weakness：Soaring U.S. deficits (projected at 9% of GDP by 2035) and a $4.5 trillion tax cut bill weigh on the dollar and Treasuries. Another credit rating downgrade could reignite gold’s rally.
Central Bank Buying May Slow：Global central banks have bought ~1,000 tons/year since 2022 (WGC data), but elevated prices could curb demand. Retail and ETF inflows will be critical to offset any slowdown.
Competition from Silver & Crypto：Silver’s breakout above $36 may divert some investor interest from gold. Meanwhile, a sustained equity rally or Bitcoin rebound could further pressure gold demand.
HSBC Global Research warns of softer H2 demand and potential supply pressure, noting gold’s failure to break $3,500 in June despite Middle East tensions.
Sprott’s Ryan McIntyre expects summer consolidation near $3,300, with U.S. debt risks providing a floor.
While gold’s parabolic rally may pause, structural supports—U.S. fiscal instability, central bank accumulation, and geopolitical risks—should prevent a deep correction. Traders may look for dip-buying opportunities near key supports, but volatility is likely to rise.
The U.S. Senate just passed a new budget bill projected to add $3 trillion to deficits over the next decade, reinforcing gold’s role as a hedge against fiscal uncertainty.
