On March 23rd, spot gold broke down through $4,338, now trading at $4,337.97/oz, (967 yen/gram), down 3.54% intraday. Spot silver is trading at $65.14/oz, down 4.02% intraday. This has nearly wiped out all gains for the year.
At the same time, military conflict in the Middle East has persisted for four weeks, while the US and Iran are exchanging threats of launching new attacks against each other. Since the conflict erupted, continually rising oil prices have increased inflation risks and reduced the likelihood of the Federal Reserve and other central banks cutting rates in the short term. This is an unfavorable factor for gold, which has fallen for eight consecutive trading days and just recorded its largest weekly decline since 1983.
Gold Crashes! All-Year Gains Wiped Out
On March 23rd, spot gold broke down through $4,338, now trading at $4,337.97/oz, (967 yen/gram), down 3.54% intraday. Spot silver is trading at $65.14/oz, down 4.02% intraday. This has nearly wiped out all gains for the year.
At the same time, military conflict in the Middle East has persisted for four weeks, while the US and Iran are exchanging threats of launching new attacks against each other. Since the conflict erupted, continually rising oil prices have increased inflation risks and reduced the likelihood of the Federal Reserve and other central banks cutting rates in the short term. This is an unfavorable factor for gold, which has fallen for eight consecutive trading days and just recorded its largest weekly decline since 1983.