Gold price today: Will gold crash into bear market territory, fall below $4,000-mark? Check latest gold rate predictions

Spot gold was down 0.9 per cent at $4,169.44 per ounce. It has been trading below the 200-day moving average since ‌June 5. U.S. ⁠gold futures ⁠fell 1.72 per cent to $4,172.90. Analysts said the bullion market remained under pressure as investors increasingly favoured the dollar amid expectations that US interest rates could stay elevated for higher. The latest decline marks a sharp reversal from the record highs seen earlier this year, with gold now headed for a third weekly loss.

“Gold faces a distinct risk of dropping deeper into bear market territory ​and below the $4,000/oz mark, as the precious metal continues to navigate a challenging environment,” said Nikos Tzabouras, senior market analyst at Jefferies-owned Tradu. com.

“Higher-for-longer Fed expectations are toxic ​for non-yielding assets while benefiting the dollar,” Tzabouras added.

Gold Rate Prediction

Gold prices extended their corrective phase and registered a third consecutive weekly decline, Pankaj Singh, smallcase manager, Founder and Principal Researcher, SmartWealth AI, said.

“The correction was driven by expectations that interest rates may remain elevated for longer, pushing bond Treasury yields higher and increasing the opportunity cost of holding non-yielding assets such as gold,” he added.

In the international markets, spot gold slipped USD 60.70, or 1.44 per cent, at USD 4,148.45 per ounce and silver fell 1.51 per cent to USD 64.73 per ounce.

Analysts noted that market sentiment was also influenced by uncertainty surrounding the next phase of the US-Iran peace agreement announced earlier this week.

According to reports, US Vice-President J D Vance cancelled the planned visit to Switzerland, while Iran delayed sending its delegation for talks following fresh Israeli strikes in Lebanon, raising doubts about the timeline for implementing the accord.

“Spot gold is trading lower in the overseas trade as the metal remains vulnerable amid hawkish Federal Reserve’s repricing and lingering uncertainty over US-Iran talks,” Praveen Singh, Head of Commodities at Mirae Asset ShareKhan, said.

Jateen Trivedi, VP Research Analyst – Commodity and Currency, LKP Securities, said, “Market participants should remain focused on developments surrounding the US-Iran negotiations, as any progress or setback in talks could add further volatility to precious metals.” “While geopolitical risks may provide volatility, interest rate expectations are currently the dominant driver for gold prices,” he said.