Gold currently appears cheap relative to global money supply growth, but an immediate breakout is unlikely, according to Jurrien Timmer, director of Global Macro at Fidelity Investments. Timmer noted that the growth rate of global M2 money supply has plunged to 6% from 12%, acting as the primary headwind for the precious metal despite geopolitical tensions and persistent inflation. He warned that global liquidity may contract further as central banks adopt increasingly hawkish policies, and the catalyst needed for a significant gold rally is not yet present. Year-to-date, spot gold prices are down around 5%, while the S&P 500 has climbed roughly 11%, though gold gained 23% year-over-year compared with the S&P's 21% rise.