Gold Prices' 12-Year Trouble: Record Decline

Gold Decline: The Biggest Change in 12 Years

An important development has occurred in the international gold market. Gold, after weeks of record increases, is facing a historic decline. Gold bullion reached a new peak of $4,381.52 per ounce yesterday, but today it lost value by 6.3%, raising concerns among investors.

Trade Talks Increase Uncertainty

Positive trade discussions between China and the U.S., the strengthening of the dollar, and increasing uncertainty due to the potential government shutdown are among the factors negatively impacting gold prices. Additionally, the end of the traditional buying season in India has placed pressure on demand.

Decrease in Safe Haven Demand

The upcoming meeting between U.S. President Donald Trump and Chinese President Xi Jinping is expected to provide a certain level of confidence in the markets, but it has also led to a decrease in safe haven demand. The increase in U.S. dollar has made precious metals more expensive, affecting purchasing power.

Silver Not in a Different Situation

Silver, which has seen an increase of approximately 80% this year, also experienced a decline today. As of 11:02 AM, the New York market saw the price of gold per ounce falling 5.2% to $4,129.37, while silver traded down 7.8% at $48.38.