Gold Fails to Recover, Marking Worst Weekly Decline Since June

Global gold prices began to stabilize during Friday’s trading session (October 23, 2026), following a drop to a three-month low.

Spot gold traded at approximately US$4,023.95 per troy ounce, having previously slipped to US$3,986.50—its lowest level since July 20. For the week, gold has weakened by 3.5%, putting it on track for its sharpest weekly decline since June. The pressure on the precious metal has been driven by a surge in global oil prices, which has heightened inflation concerns and reinforced expectations that the Federal Reserve will maintain high interest rates.

According to the CME FedWatch Tool, the probability of a Federal Reserve interest rate hike in October is estimated at 9%, while the likelihood of an increase in December stands at 81%. Investors are now awaiting the Fed’s decision on October 27–28, as well as the release of U.S. PCE inflation data on October 29, to gauge the future direction of gold prices.

Newsmaker Conclusion

Gold remains under bearish pressure, despite signs of price stabilization. The surge in global oil prices has increased inflation risks, which could lead the Federal Reserve to keep interest rates high for a longer period.

From a technical perspective, US$4,000 serves as a critical psychological level. If gold falls back and remains below this mark, selling pressure is likely to persist. Conversely, a recovery above US$4,050 could open the door for a short-term rebound, though this would not be sufficient to confirm a trend reversal. (yds)

Source: Newsmaker.id