Energy Security Race Could Reinforce Gold-XAU/USD's Inflation Hedge Role

The push for the Bipartisan American Affordability and Jobs Act, aimed at accelerating US energy infrastructure to match China, highlights a structural contest over industrial capacity that carries inflationary implications. Slow permitting has already been cited as a competitive disadvantage, and delayed buildout risks keeping energy costs — and by extension broader price pressures — elevated.

Meanwhile, Russia's Northern Sea Route oil exports surging nearly 50% year-on-year show how sanctioned supply is being rerouted rather than removed, keeping global energy markets structurally tight. For gold-XAU/USD, persistent energy-driven inflation risk alongside geopolitical fragmentation strengthens the longer-term case for bullion as a store of value.