- September 28, 2026
- Posted by: Tresmark
- Category:
No Comments
Gold prices dropped more than 2% on Monday as rising oil prices fueled inflation concerns and strengthened expectations that the US Federal Reserve could raise interest rates further.
Spot gold fell 2.1% to $4,198.10 per ounce by 0357 GMT, putting it on track for its sharpest one-day decline since September 1. US gold futures also declined 2.1% to $4,231 an ounce.
Higher oil prices have renewed concerns about inflation, while elevated bond yields have added further pressure on the non-yielding precious metal.
"The high bond yields and high oil price tandem continues to act as a thorn in gold’s side," said Tim Waterer, chief market analyst at KCM Trade. He added that uncertainty over oil flows was keeping inflation concerns at the forefront for investors.
The decline came as markets assessed the impact of the latest developments in the Middle East, including the US rejection of Iran's peace proposal.
Investors are also awaiting a series of US economic data releases due this week, which could provide further clues about the Federal Reserve's interest-rate outlook.
Silver prices also came under pressure, falling more than 3% during the session.
