Muscat: Gold declined 1.7 per cent in spot trading to $4,876.12 an ounce, pulling back from a near one-week high reached earlier in the session. US gold futures for April delivery also slipped, falling 1.1 per cent to $4,896.30 an ounce.
The decline came as the US dollar climbed to its highest level in nearly two weeks, making dollar-priced metals more expensive for holders of other currencies and dampening demand.
Silver saw a steeper fall, sliding 12.4 per cent to $77.09 an ounce in spot trading. The drop follows last week’s record high of $121.64, highlighting heightened volatility in the market.
Other precious metals were also under pressure. Platinum fell 7.7 per cent to $2,056.64 an ounce, retreating sharply after touching an all-time high of $2,918.80 on January 26. Palladium declined nearly 5 per cent to $1,689.25.
Market sentiment was further influenced by geopolitical and trade developments. Officials confirmed that Iran and the United States have agreed to hold talks on Friday, easing regional tensions. Meanwhile, US President Donald Trump said China is considering increasing purchases of US-grown soybeans following what he described as “very positive” talks with Chinese President Xi Jinping.
Gold and silver prices plummeted as the US dollar surged, with gold dropping 1.7% and silver plunging 12.4%. The stronger dollar made metals more expensive for non-dollar holders, reducing demand. Market volatility was further influenced by easing trade tensions, as the US and Iran agreed to talks and China considered increasing US soybean purchases.