Gold prices retreated on Monday, erasing a weekly gain of more than 2% that had briefly halted a four-week losing streak.
The pullback was driven by a firmer US dollar and growing market caution ahead of the release of the latest Federal Reserve meeting minutes.
The breakdown below the critical $4,000 per ounce threshold signals a loss of momentum for the bull case, as traders prioritize yield-bearing instruments amid persistent inflation concerns and robust US economic data.
The decline marks a third consecutive session of losses for the precious metal, pushing prices toward their lowest levels in over seven months.
Market participants are increasingly focused on the policy implications of the upcoming minutes, with uncertainty surrounding the Fed’s future rate path dampening appetite for non-yielding assets.
This move follows a broader shift in sentiment as investors adjust to a stronger dollar environment.
The breakdown below the critical $4,000 per ounce threshold signals a loss of momentum for the bull case, as traders prioritize yield-bearing instruments amid persistent inflation concerns and robust US economic data.