Gold is on track to record its largest quarterly decline since 2013, as a confluence of macroeconomic headwinds continues to weigh on the precious metal.
The sell-off reflects a broader shift in market sentiment, where the opportunity cost of holding non-yielding assets has risen sharply amid a persistent hawkish stance from the Federal Reserve.
The metal has posted a fourth consecutive weekly decline, pressured by a strengthening US dollar and renewed investor caution.
Market participants are increasingly focused on the durability of the current macro regime, with inflation concerns remaining elevated.
This environment has eroded demand for gold, as investors rotate into yield-bearing instruments or maintain cash positions to navigate uncertainty.
The decline comes against a backdrop of geopolitical reassessment.