“What Venezuela really confirms to us is that the US currently has a higher propensity to take military action when it sees something that it doesn't like,” says Goh. “In such an environment, gold is set to do very well,” adds Goh, speaking at the bank's 1H 2026 outlook briefing.
The DBS CIO team expects gold and defence stocks to perform well in the current era of relatively higher geopolitical tensions.
While DBS investment strategist Goh Jun Yong believes that the US attack on Venezuela will not affect energy prices, he thinks that this will cause a “chronically elevated” level of geopolitical tension.
