Gold Slips Below $1,500—Is This the Start of a Bigger Drop?

Gold prices have dipped to $1,500 per ounce, marking a downturn as traders react to shifting global conditions. Silver is also down, dropping $100 to trade at $30.23 per ounce, as investors weigh inflation data and central bank policies.

 

The decline in gold is largely tied to expectations that the Federal Reserve may delay rate cuts, making safe-haven assets less appealing. Analysts warn that if gold falls below $3,136, it could slide further to $2,875-$2,950 before finding solid ground.

 

Silver’s slump follows a rise in bond yields, which tend to make metals less attractive to investors. Despite the pullback, some market watchers believe demand could pick up again, especially if concerns about inflation or geopolitical risks return to the forefront.

 

Investors are now looking to upcoming economic reports for clues on the Fed’s next move. If policymakers signal a more cautious approach to interest rates, gold and silver may stabilize or even rebound. Until then, the market remains in flux, with traders navigating the uncertainty.

 

Source: Business Standard, Times of India, MetalsDaily.com