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Gold Faces Worst Week in History, Plunges Nearly 10% to Mark Worst Performance in 43 Years, Market Logic Shifts
International gold prices fell sharply by nearly 10% on a weekly basis this week, potentially marking the worst single week since 1983 in the past 43 years. Following the outbreak of geopolitical conflict, gold prices declined rather than rose, with a cumulative drop of 13%, and safe-haven sentiment has completely faded.
As of Friday, gold prices stood at $4,570 per ounce, giving back all gains from the past two months. This decline was primarily driven by hawkish statements from the Federal Reserve, cooling expectations for rate cuts, a stronger US dollar, and concentrated profit-taking. Traditional safe-haven logic has failed, funds continue to flow out of the gold sector, and gold prices face significant downward pressure in the short term.