Gold falls 3.3% to over seven-week low of $4,146.51/oz, silver drops 4.7% as oil prices rise and US dollar strengthens
Spot gold prices fell 3.3% to $4,146.51 per ounce on Monday, marking its lowest level since August 5. US gold futures also declined 3.3% to $4,178.40. Spot silver fell 4.7% to $61.27 per ounce, platinum declined 2.9% to $1,726.30, and palladium lost 4.4% to $1,211.45. The decline in precious metals is attributed to rising oil prices (up about 3% after US President Donald Trump rejected an Iranian offer to resolve conflict), a stronger US dollar, and higher Treasury yields, which are fueling inflation concerns and making non-yielding assets less attractive. The Fed raised benchmark rates by a quarter percentage point earlier this month and indicated further hikes are likely.
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