SocGen raises equity allocation, advises buying gold dip

Societe Generale has raised its equity allocation to 55% from 50% and cut bond exposure, while advising investors to buy gold on dips, according to a note from strategists led by Alain Bokobza.

The French bank increased its equity weighting with a preference for U.S. markets, favoring S&P 500 equal-weight exposure to capture the positive growth impulse. It also added geographical diversification through China, Japan and the U.K. The bond allocation was reduced to 25% from 30%. Commodities received the most significant reallocation, with gold highlighted as a buy on pullbacks.

For gold and precious metals traders, the recommendation reinforces the view that central bank buying and resilient demand provide a floor under prices. Gold has historically benefited from periods of moderate inflation and accommodative monetary policy, and SocGen's call suggests the current environment remains supportive. Traders can track gold's real-time price action on NowPrice's live dashboard to monitor dip-buying opportunities.

Looking ahead, investors will watch upcoming U.S. inflation data and Federal Reserve commentary for further clues on the rate path. A sustained rally in equities could temporarily divert flows from gold, but any risk-off shift may renew safe-haven demand. The bank's overweight stance on commodities implies confidence that the bull market in gold has further to run.