Gold prices reversed course on Thursday, falling by more than 1% and ending a four-day streak of gains, after U.S. President Donald Trump said the United States would continue its war with Iran in the coming weeks.
Spot gold dropped 1.3% to $4,694.48 per ounce as of 02:02 GMT, while U.S. gold futures declined 1.9% to $4,723.70.
Prices had earlier risen more than 1%, reaching their highest levels since March 19, before Trump’s remarks.
In a televised address to the nation, Trump said the United States would strike Iran “very hard” over the next two to three weeks and “take it back to the Stone Age,” adding that U.S. strategic objectives in the conflict are nearing completion.
Brent crude prices rose by more than 4%, while yields on U.S. 10-year Treasury bonds and the U.S. dollar index also increased, putting pressure on gold, which is priced in dollars.
The precious metal fell 11% in March, marking its worst monthly performance since 2008. The decline followed the outbreak of the Iran war on February 28, which drove oil prices higher and increased inflationary pressures, casting uncertainty over the Federal Reserve’s monetary policy path.
Among other precious metals, spot silver fell 2.9% to $72.95, platinum dropped 1.8% to $1,928.26, and palladium declined 1.4% to $1,451.85.
— Reuters
