Yet another war in the Middle East. Missiles in the skies over Iran and Israel, with Gulf countries being drawn into the crossfire. Global energy markets being strained to critical levels.
This is the exact script where gold, the ancient refuge of fear, is supposed to surge. Instead—it fell. Hard.
Since the outbreak of the U.S.–Iran conflict on February 28, 2026, gold has dropped roughly 10% to 15%, snapping an eight-month winning streak and logging its worst monthly performance since 2013. From late-January highs, the metal slid aggressively through March, marking one of the sharpest drawdowns in over four decades.
At first glance, it doesn’t make sense. Gold is the safe haven. Chaos is supposed to fuel its rises - so why is it running out of gas?
This is what I break down in this video, along with explaining strong indicators of what is going to happen next.
You see, in the early days of the conflict, gold behaved exactly as expected—it rose. But then a second-order effect hit the market with far more force: energy market crisis.
As oil and natural gas prices surged in response to geopolitical risk, inflation expectations reignited. And with them came a shift in monetary expectations. Investors began to price in a more hawkish Federal Reserve—one that would be forced to hold interest rates higher for longer, or even raise them further, to contain energy-driven inflation.
Something that must be understood about gold as a safe haven (and why I always say gold is not an “investment” per se, but rather it should replace all of the money you have in savings) is this: gold does not yield.
In other words, it does not pay interest. And in a world where rates are rising—or even just staying elevated—holding gold becomes an opportunity cost. Capital rotates instead into yield-bearing assets, particularly short-duration government debt and cash equivalents. The stronger the expectation of tighter monetary policy, the weaker the case for gold.
That’s where gold’s problems began - but not where they ended. It turns out that wasn’t the real driver of its price crash; rather, it simply set the stage. There’s a deeper layer here, and one most people are missing.
When the entire world is suddenly forced to pay at least 50% more for its energy supply - and remember, energy is the foundation for all human economic activity, so no commodity is more important - it becomes critical for these nations to either dip into strategic reserves (which some have) or come up with more money to pay for this energy.
And the easiest way to do that? Selling liquid hard assets. And gold is the premier liquid hard asset in the entire world.
In addition, we must remember: the vast majority of global oil transactions still must be conducted in U.S. dollars. This regime has frustrated much of the world, and many nations are trying to transition to other systems, but as of right now the petrodollar reigns supreme. That’s why not only have nations been selling gold to come up with cash, they were specifically selling gold to come up with USD.
Hence, not only has gold fallen hard - the strength of the U.S. dollar surged at the same time.
As a result, what we are witnessing in the Iran War is not an isolated regional conflict, but part of a wider campaign centered on two pillars:
The U.S. exerting control over energy flows and critical minerals, a campaign it has aggressively been on since around 2022;
Forcing global energy supply to be choked off in order to surge the power of the U.S. dollar, and then force the world to come to the U.S. for its critical oil and gas supplies at much higher prices.
The result may look like a paradox: the very instability that should benefit gold instead strengthened the monetary forces that are suppressing it.
But its not a paradox - it is actually standard operating procedure for the modern U.S. And that’s because the U.S. is not a democratic republic, but rather an empire - an empire run by an international criminal oligarchy that is fundamentally a financial mafia.
And as a mafia, it is going to do mafia shit - such as hijacking resources, then cutting off the competition’s supplies, and forcing the world to come to the mafia for the only supply in town (at much higher extortion-level prices, of course.)
Learn how that international financial mafia works, and the world will finally start making sense to you - and that’s what I cover daily in my Forbidden Finance Group.
To get full access to the group, along with my daily reports made with extensive conspiratorial and counter-narrative insights (which you can start for only $1!) visit this link: https://catodezorra.com/products/catos-info-warfare-armory-private-group
