By Caitlin McCabe
Gold is usually thought of as a haven asset, offering investors safety during times of volatility. So why has it fallen for six of the past seven sessions?
One big reason: The precious metal has become the latest victim of rising inflation expectations and dimming hopes of global interest-rate cuts.
Gold tends to thrive when rates are lower and the opportunity cost of holding the metal is low. But when rates are higher, investors tend to ditch the metal in favor of other assets, such as bonds, that can offer a higher return.
Traders saw a similar dynamic play out in 2022, when Russia's invasion of Ukraine led to a surge in energy prices, fanning inflation. Gold fell for seven straight months between April and October that year.
On Thursday, gold slid more than 5% to roughly $4,600 a troy ounce, bringing its month-to-date losses to more than 12%.
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(END) Dow Jones Newswires
March 19, 2026 09:02 ET (13:02 GMT)
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