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Source: Newsmaker.id
Gold prices came under renewed pressure on Friday (October 30, 2026), falling below the key psychological level of $4,000 per troy ounce. The decline was driven by rising oil prices, which fueled inflation concerns, and a global technology stock selloff that raised the possibility of investors liquidating gold holdings to cover losses in equity markets. Bullion dropped as much as 1.4% to $3,965.36 per ounce, its lowest level since mid-July.
Pressure on the precious metal intensified amid concerns over potential renewed US military operations against Iran. The geopolitical uncertainty pushed Brent crude prices to their highest level since April, adding to global inflation risks. These developments also reshaped market expectations for Federal Reserve monetary policy. Following Wednesday's decision to keep interest rates unchanged, the US central bank left the door open for another rate increase before the end of the year. Traders are now pricing in a 70% probability of a December rate hike, reducing the appeal of non-yielding assets such as gold.
Gold has lost more than 4% throughout October and is heading toward its second consecutive monthly decline. Beyond inflation concerns and interest rate expectations, weakness in technology stocks has further weighed on market sentiment. Shares of artificial intelligence-related companies extended their losses for a second consecutive day following disappointing corporate earnings reports. Ole Sloth Hansen, Head of Commodity Strategy at Saxo Bank, warned that continued weakness in equity markets could trigger broader deleveraging and liquidity-driven selling, potentially forcing investors to liquidate gold positions.
Meanwhile, other precious metals also experienced significant selling pressure. Silver declined more than 3% toward $50 per ounce, bringing its monthly losses to over 16%. The downturn erased all of silver's gains since early December, following a sharp rally that previously pushed prices above $120 per ounce. Hansen cautioned that although silver has entered oversold territory, further downside risks remain due to continued liquidation of long positions and momentum-driven selling by technically oriented investment funds. Such conditions could potentially push silver prices toward the mid-$40 range per ounce.
The gold-to-silver ratio has also climbed to its highest level since December, highlighting gold's relative resilience compared with silver amid broader market uncertainty. Gold continues to attract demand from some investors seeking a safe-haven asset, despite persistent interest rate pressures. As of 11:27 a.m. London time, spot gold had fallen 1.2% to $3,971.53 per ounce, while silver dropped 3.3% to $50.42 per ounce. Platinum and palladium also declined, while the Bloomberg Dollar Spot Index weakened by 0.3%.
Looking ahead, gold prices are expected to remain sensitive to developments in the Middle East conflict, oil price movements, Federal Reserve policy expectations, and global equity market stability. Persistent inflation risks could reinforce expectations of tighter monetary policy, limiting gold's recovery potential. However, escalating geopolitical uncertainty may continue to support safe-haven demand. With prices having broken below $4,000, investors are closely monitoring whether gold can defend its recent lows or face further selling pressure as October trading draws to a close.(mrv)
Source : Newsmaker.id