Gold Price Sees Biggest Drop in Over 40 Years

The precious metal fell to around $4,372 per ounce in the latest trading, slipping below the $4,400 mark and deepening what is now being described as the steepest weekly decline in more than four decades.

The selloff comes as investors reassess the outlook for interest rates. Instead of expecting rate cuts, markets are increasingly bracing for borrowing costs to stay higher for longer as inflation risks remain elevated. That has pushed bond yields and the dollar higher, making gold less attractive despite continued geopolitical uncertainty.

Usually, periods of conflict and instability support demand for gold as a safe-haven asset. This time, however, the market has moved in the opposite direction. Rising oil prices and inflation fears have strengthened the case for tighter monetary policy, and that shift has put heavy pressure on bullion.

Reports suggest the recent slide has already become gold’s worst weekly fall in over 40 years, with the metal falling rapidly from its earlier peak and losing momentum at a pace few expected.

The correction has also dragged prices toward multi-month lows, leaving traders closely watching whether support levels can hold in the coming sessions.