Quant Mutual Fund expects gold to shed 12–15% off its current value, it maintains long-term up-trend prospects

Despite the glorious rally of gold during the preceding months, it disclosed cautiously that the precious metal within its outlook has probably reached its peak

Quant Mutual Fund anticipates a 12–15% decline in gold from its present levels, despite noting its long-term bullish prospects. It also provides an update on the outlook for crude oil, equities, Bitcoin, and currency movements.

Despite gold’s impressive rally in recent months, Quant Mutual Fund is cautiously suggesting that the yellow metal may have peaked and is poised for some correction—to the tune of 12–15% in dollar terms—in the near term.

The fund house observed in its latest monthly market note that May was usually the month that had a positive rub-off for gold. But a combination of historical seasonality with macro signals suggested a likely consolidation period ahead.

“However, our medium-term and long-term views are equally constructive and we reiterate that a meaningful percentage of your portfolio should be dedicated towards precious metals,” according to the monthly release by Quant Mutual Fund.

Crude Oil, Bitcoin:

Quant’s Mutual Fund outlook is that the downside on NYMEX crude has mostly played out. Meanwhile, May is usually a bullish month for oil, so any upside could count for something, especially if the current marginal risk-on sentiment in emerging markets is strengthened.

Despite historical trends—where Bitcoin typically shows bearish tendencies in May—current data supports a bullish view. Notably, Quant’s analytics provides an unexpected twist: they indicate an bullish outlook, particularly in light of rising global uncertainties.

“Though for Bitcoin, the month of May is generally flat to bearish but our analytical tools are endorsing a bullish outlook with current global uncertainties, it would be an ideal investment for high-risk appetite global investors,” the release says.

Equity Outlook: Short Term Pull Back, Broad-Minded Approach in the Middle Term.

According to the fund house, global inflows into the U.S. equity market reached a peak in January 2025. Since then, inflows have continuously reduced from global investors into U.S. stocks, particularly into technology stocks.

“Therefore, an important high is in place in US equity and the Nasdaq in particular. Although a near-term pullback is probable, the medium-term trend is still weak and the next few months will be quite challenging for global equity and U.S. equity in particular,” the release said.

Despite this, Quant does not view the ongoing correction as a bear market, stating: “For a deep bear market hypothesis, we require tighter global liquidity and currently global liquidity remains relatively quite strong