{
“headline”: “Gold Falls as Oil Spike and Higher Yields Pressure Metals”,
“content”: “

Gold prices have fallen sharply in late-afternoon U.S. trading on Thursday, driven by a combination of rising Treasury yields, a firmer U.S. dollar, and a renewed spike in crude oil prices. Spot gold was trading near $4,047.80 an ounce, down 1.98% from its previous close, while spot silver was trading near $57.64, down 3.46%.

The decline in precious metals is attributed to safe-haven demand tied to the ongoing U.S.-Iran conflict being outweighed by other factors. Rising Treasury yields have increased the cost of holding non-yielding bullion like gold, making it less appealing to investors. Meanwhile, a firmer U.S. dollar has reduced the appeal of commodities priced in dollars.

The oil spike is also contributing to the decline in gold prices. Brent crude traded above $100 during the session, widening the energy-security shock beyond the Strait of Hormuz. This increase in oil prices has lifted inflation expectations, pushing yields higher and reducing the appeal of non-yielding bullion like gold.

In addition to gold, other markets are also experiencing declines. North American equities closed sharply lower as mega-cap technology weakness, higher oil prices, and rising Treasury yields hit risk appetite. The S&P 500 fell 90.66 points, or 1.2%, to 7,408.30, while the Nasdaq Composite lost 553.21 points, or 2.2%, to 25,137.69.

European equities also closed lower as technology and consumer shares sold off. The STOXX Europe 600 fell 7.66 points, or 1.18%, to 639.27. In Canada, the S&P/TSX Composite was down 0.21% near 35,340.15.

Traders are watching Fed communication before next week’s July 29 policy decision, follow-through in jobless claims, Friday’s U.S. flash PMI data, and any fresh disruption to Hormuz or Red Sea shipping lanes. A sustained move below $4,039.40 would put gold’s short-term recovery at risk.

Technically, spot gold bulls have lost near-term momentum as prices slipped below the 100-period moving average at $4,083 and failed to clear descending trendline resistance at $4,148. Bulls’ next upside price objective is to push prices back above $4,148, with a sustained move targeting $4,200 and then $4,246.

Silver bulls have lost near-term momentum after prices failed to hold above the $60.75 breakout level and pulled back toward the 50-period moving average at $58.50 and the 100-period moving average at $58.34. Silver bulls’ next upside price objective is to drive prices back above $60.75, with a move above that level targeting $61.88 and then $63.18.

The situation remains highly stressed in the Strait of Hormuz, with Brent crude trading above $100 during the session after attacks on Saudi oil tankers in the Red Sea and renewed fighting linked to Iran-backed forces widened the energy-security shock beyond Hormuz. For gold, the impact remains two-sided: geopolitical risk supports defensive demand, but the oil spike is lifting inflation expectations, pushing yields higher and reducing the appeal of non-yielding bullion.

The 10-year Treasury yield traded near the 4.7% area, and the dollar stayed firm as traders priced a higher inflation-risk premium into the curve. The yield on the benchmark 10-year U.S. Treasury note is trading near the 4.7% area.

Overall, the decline in precious metals is attributed to a combination of factors, including rising Treasury yields, a firmer U.S. dollar, and a renewed spike in crude oil prices. Traders are watching Fed communication before next week’s July 29 policy decision, follow-through in jobless claims, Friday’s U.S. flash PMI data, and any fresh disruption to Hormuz or Red Sea shipping lanes.

Key outside markets see Nymex WTI crude oil prices sharply higher and trading near the $92.00 area, while Brent crude traded above $100.00. The U.S. dollar index is firmer.

First resistance is seen at $4,075 and then at $4,148, with first support seen at $4,039.40 and then at $4,020. Spot silver bulls have lost near-term momentum after prices failed to hold above the $60.75 breakout level and pulled back toward the 50-period moving average at $58.50.

The situation in the Strait of Hormuz remains highly stressed, with Brent crude trading above $100 during the session after attacks on Saudi oil tankers in the Red Sea and renewed fighting linked to Iran-backed forces widened the energy-security shock beyond Hormuz.

For gold, the impact remains two-sided: geopolitical risk supports defensive demand, but the oil spike is lifting inflation expectations, pushing yields higher and reducing the appeal of non-yielding bullion. A sustained move below $4,039.40 would put gold’s short-term recovery at risk, while a close back above $4,075 would ease immediate downside pressure.

The yield on the benchmark 10-year U.S. Treasury note is trading near the 4.7% area, and the dollar stayed firm as traders priced a higher inflation-risk premium into the curve. Overall, the decline in precious metals is attributed to a combination of factors, including rising Treasury yields, a firmer U.S. dollar, and a renewed spike in crude oil prices.

Hashtags: #GoldPrices #OilSpikes #PreciousMetals #MarketVolatility