#GOLD
Why Gold, Silver and Asian Stocks Are Crashing Today as Oil Tops $111
The multi asset market is crashing today as Gold fell below $4,100 an ounce, silver lost more than 2.4%, and Asian stock markets turned red. Japan’s Nikkei dropped 2.5%, while South Korea’s KOSPI fell 2.7%. The sell-off comes as rising oil prices fuel fears of higher inflation and U.S. interest rates.
Meanwhile, the crypto market also felt the impact, with Bitcoin giving up some of its recent gains
Oil Surges Above $111 as Iran Tensions Raise
The main reason behind the sell-off is the sharp rise in oil prices. Drone and missile strikes by Yemen’s Houthi group on Saudi oil fields pushed Brent and WTI crude above $111 a barrel.
Higher oil prices raise fuel and transport costs, adding to fears of rising inflation. This could keep interest rates high for longer. As a result, investors are selling gold and silver despite their usual role as safe-haven assets during uncertain times.
Meanwhile, tensions between the U.S. and Iran have added to market concerns. President Donald Trump said the U.S. was “not negotiating” with Iran and that a development could come “fairly soon.”
President Trump declares that the US is not negotiating with Iran, says something will happen “soon.” pic.twitter.com/9Gi4aXmST8
This is due to rising energy costs, which have increased expectations that the U.S. Federal Reserve will keep interest rates high for longer. Markets are now pricing in a possible 25-basis-point rate hike in December, while CME FedWatch data points to no change at the October meeting
Higher rates and a stronger U.S. dollar can pressure precious metals because they do not pay interest
The decline comes ahead of India’s biggest festival, Dhanteras and Diwali. Gold demand usually rises during the festive season, as people buy the metal out of faith and tradition.#Write2Earn #EarningsSeason #XAU $XAU
Why Gold, Silver and Asian Stocks Are Crashing Today as Oil Tops $111
The multi asset market is crashing today as Gold fell below $4,100 an ounce, silver lost more than 2.4%, and Asian stock markets turned red. Japan’s Nikkei dropped 2.5%, while South Korea’s KOSPI fell 2.7%. The sell-off comes as rising oil prices fuel fears of higher inflation and U.S. interest rates.
Meanwhile, the crypto market also felt the impact, with Bitcoin giving up some of its recent gains
Oil Surges Above $111 as Iran Tensions Raise
The main reason behind the sell-off is the sharp rise in oil prices. Drone and missile strikes by Yemen’s Houthi group on Saudi oil fields pushed Brent and WTI crude above $111 a barrel.
Higher oil prices raise fuel and transport costs, adding to fears of rising inflation. This could keep interest rates high for longer. As a result, investors are selling gold and silver despite their usual role as safe-haven assets during uncertain times.
Meanwhile, tensions between the U.S. and Iran have added to market concerns. President Donald Trump said the U.S. was “not negotiating” with Iran and that a development could come “fairly soon.”
President Trump declares that the US is not negotiating with Iran, says something will happen “soon.” pic.twitter.com/9Gi4aXmST8
This is due to rising energy costs, which have increased expectations that the U.S. Federal Reserve will keep interest rates high for longer. Markets are now pricing in a possible 25-basis-point rate hike in December, while CME FedWatch data points to no change at the October meeting
Higher rates and a stronger U.S. dollar can pressure precious metals because they do not pay interest
The decline comes ahead of India’s biggest festival, Dhanteras and Diwali. Gold demand usually rises during the festive season, as people buy the metal out of faith and tradition.#Write2Earn #EarningsSeason #XAU $XAU