Shares of large gold producers fell steeply in early trading Monday as bullion continued its multi-session decline, hitting a four-month low. Major miners - Newmont, Barrick, Agnico Eagle, and AngloGold Ashanti - each dropped roughly 5% to 6% in premarket activity by 05:22 ET.
Spot gold retreated 4.4% to $4,292.88 per ounce, extending a run of losses that reached a ninth consecutive session. Intraday, prices briefly fell more than 8% to $4,097.99, the weakest so far since November 24.
The move follows an unusually steep weekly selloff. Last week, the metal posted a decline in excess of 10% - the sharpest weekly drop since February 1983 - and is now down roughly 25% from its January 29 record peak of $5,594.82 per ounce. U.S. gold futures for April delivery were down 6.4% at $4,280.
Market participants attributed the selling pressure to a shift in interest-rate expectations. Futures pricing has moved to reflect a greater likelihood of tighter U.S. monetary policy, with the CME FedWatch tool showing markets expect higher rates rather than cuts by the end of 2026. Higher real rates tend to diminish the appeal of non-yielding assets such as gold, pressuring prices.
At the same time, geopolitical developments in the Middle East have added complexity. The conflict involving Iran entered its fourth week, while oil prices remained around $100 per barrel. Iran said on Sunday it would target energy and water infrastructure in neighboring Gulf states if U.S. President Donald Trump follows through on threats to strike Iran’s electricity grid. Separately, the closure of the Strait of Hormuz has kept crude prices elevated, which can feed through to broader inflation by increasing transport and production costs.
Those dynamics have produced opposing forces for bullion: persistent inflationary pressures tied to higher energy costs could support demand for gold, but the concurrent rise in expectations for higher interest rates has outweighed that effect so far, contributing to the recent selloff.
Other precious metals also faced declines. Spot silver dropped 4.7% to $64.57 per ounce, while platinum slid 6% to $1,809.25, with both briefly touching their lowest levels since mid-December earlier in the session.
Market context and implications
- Major gold miners led equity declines in the sector as bullion extended its downward streak.
- Interest-rate expectations have shifted toward potential hikes, reducing demand for non-yielding assets.
- Geopolitical risks and higher oil prices are complicating the inflation outlook, creating mixed pressures for precious metals.