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A sharp decline in US technology stocks put pressure on capital allocation and investors sold gold and other safe-haven assets, sending the price of gold below $4,000 and sending silver, platinum and palladium falling simultaneously.
internationalgold price It fell to its lowest level in a year, while silver, platinum and palladium fell sharply into the technical oversold range, reflecting a sharp decline in US technology stocks and investors looking for liquidity to sell gold, leading to a decline in the precious metals market.
On the 30th, spot gold prices fell 3.65% to close at US$3,874.62 per ounce, the lowest level since October 2025; Spot silver fell 5.85% to US$49.10, falling below US$50 for the first time in 11 months; Palladium fell below US$1,000 an ounce.
While the market expects the Middle East to once again be thrown into turmoil after the US midterm elections next week, gold has done the same.US stocks At the bottom, the status of the asset, which has always been considered a safe haven, has failed. American gold trader Samuelsson, president of the American Gold Exchange, said the sharp selloff in the stock market had caused “collateral damage” to the precious metals market. Investors are eager to raise cash after suffering losses in the stock market and selling gold has become a way to obtain liquidity.
Commerzbank analysts also noted that a sharp decline in technology stocks on Friday could trigger margin calls and force investors to sell gold and other safe-haven assets. However, he expects further upside in precious metal prices.
Gold prices have fallen 30% since hitting a record high of $5,595 a pound in January, reflecting bets that interest rates will remain high for a longer period of time and weak demand in Asia. But analysts say when gold prices fall below $4,000, demand from central banks usually increases.
Hassan, senior market analyst at XS.com, said that although the situation in the Middle East is escalating and the risk of resumption of regional wars in the short term is quite high, gold prices remain under selling pressure and it is difficult to sustain a major rally. This is because the US economy shows resilience, which could lead the Federal Reserve (Fed) to maintain high interest rates for a longer period, keeping US government bond yields at high levels, hindering a sustained recovery in gold prices.
Silver, platinum and palladium fall into oversold territory
On the other hand, the three white precious metals of silver, platinum and palladium lack the two key forces that have supported gold prices in recent years: purchases of gold by central banks and demand for safe haven investments.
Silver, platinum and palladium fell between 7% and 9% this week, while gold fell only 3%. This caused the relative strength index (RSI) of the three metals to fall sharply into the “oversold” range for the first time in three years, indicating that short momentum is quite strong in the current market.
Wang Tai (transliteration), an independent metals trader, said: “What is particularly worrying about white precious metals is that this decline is a continuous and uninterrupted gradual decline, not a sharp decline in a short period of time and then a rapid rebound.”
HSBC said industrial and jewelery demand for silver is declining and expects silver prices to average $64 an ounce in 2027, down from the bank’s average price forecast of $71 an ounce this year.
Platinum last fell 3.62% to US$1,435.23 a pound; Palladium fell 2.7% to US$978.61, hitting its lowest in 13 months and 17 months respectively, driven mainly by concerns about a weak demand outlook in the automotive industry.
Summary FAQ
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The market believes that the main reason is that after a sharp decline in US technology stocks, investors were forced to sell gold and other assets to replenish liquidity and deal with margin calls, which simultaneously put pressure on precious metals.
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Spot gold fell 3.65% to US$3,874.62 per pound, a one-year low; Silver fell 5.85% to US$49.10, falling below US$50 for the first time in 11 months; Palladium also fell below US$1,000.
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Although short-term selling pressure is heavy, analysts say that after gold prices fall below $4,000, central bank buying usually increases; At the same time, silver, platinum, and palladium have entered oversold territory, and a technical rally may be imminent.
