Particle.news
Download on the App Store

Gold Extends Rout, Breaking 100-Day Average as Dollar and Yields Climb

Oil-driven inflation fears are reinforcing higher-for-longer expectations that undercut gold’s appeal.

Overview

  • Gold has dropped roughly 16% from late‑February records to the mid‑$4,000s, with an intraday low near $4,503 and a week of consecutive declines.
  • Price action sliced below the 100‑day moving average around $4,577, with technicians flagging $4,680, $4,525 and $4,320 as key supports and $4,600–$4,650 as near resistance.
  • Analysts attribute the slide to rising real Treasury yields and a stronger U.S. dollar following a more hawkish Federal Reserve outlook and an oil spike linked to Middle East tensions.
  • A short‑term rebound toward roughly $4,800 is being treated as corrective after a tentative reversal signal appeared on intraday charts.
  • ETF flows mirror the stress as SPDR Gold Shares fell 3.16% to $444.74 and later traded near $421, while profit‑taking and forced liquidations from leveraged funds amplified the sell‑off; longer‑term views remain constructive with major banks keeping elevated year‑end targets.