After surge to record highs, gold overtakes 'Magnificent 7' as the most crowded trade on Wall Street

Gold has surpassed the "Magnificent Seven" tech stocks arsenic the astir crowded commercialized connected Wall Street arsenic the precious metallic surged to grounds highs this twelvemonth amid volatile markets and an uncertain economical backdrop.

According to the latest Bank of America money managers survey published this week, astir fractional of the money managers surveyed (49%) spot agelong gold, oregon bets that golden prices volition rise, arsenic the astir crowded commercialized successful the marketplace close now. This marks the archetypal clip successful 2 years that money managers did not spot the Magnificent Seven arsenic Wall Street's astir crowded trade, according to the survey.

Gold futures (GC=F) connected Wednesday roseate to an all-time precocious of $3,334 arsenic investors continued to favour the safe-haven plus amid a falling US dollar (DX-Y.NYB) and tariff uncertainty.

Gold prices person surged much than 27% twelvemonth to date, portion the Magnificent Seven tech stocks — Apple (AAPL), Alphabet (GOOGL, GOOG), Microsoft (MSFT), Amazon (AMZN), Meta (META), Tesla (TSLA), and Nvidia (NVDA) — are down considerably.

Read more: How to put successful golden successful 4 steps

Tesla banal has led Magnificent Seven losses and is down astir 38% since the commencement of 2025. Apple banal has fallen 21%.

Nvidia banal has besides declined 21% twelvemonth to date. On Wednesday, the AI spot elephantine warned of a multibillion-dollar interaction from US export controls connected China, which weighed connected shares.

Shares of Alphabet, Microsoft, Meta, and Amazon — the remainder of the Magnificent Seven — are each down by double-digit percentages since the commencement of the year.

Gold's rally comes arsenic cardinal banks' request deed all-time highs past twelvemonth and arsenic investors accrued inflows into carnal gold-backed exchange-traded funds (ETFs).

"The caller highs successful golden are signaling a displacement successful appetite for US assets," Ryan McIntyre, elder managing spouse astatine plus manager steadfast Sprott, precocious told Yahoo Finance.

"Confidence successful the US has intelligibly been shaken, truthful radical are looking to diversify."

Wall Street analysts person remained bullish connected gold, upping their terms forecasts connected the precious metallic adjacent amid its accelerated ascent.

Some 42% of money managers expect golden volition beryllium the best-performing plus of 2025, up from 23% successful March, according to Bank of America.

The firm's survey besides showed investors person rotated retired of US assets by a grounds magnitude implicit the past 2 months, with 73% of respondents saying "US exceptionalism" has peaked.

Ines Ferre is simply a Senior Business Reporter for Yahoo Finance. Follow her connected X astatine @ines_ferre.

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