Gold declines for six consecutive days, hitting a new one-month low, possibly related to cross-asset reallocation

K-LinePoet · 2026-04-08T14:54:06+00:00

Gold declines for the sixth consecutive day, influenced by soaring energy prices and the U.S. inflation report, with markets speculating that the Federal Reserve may pause interest rate cuts. Gold prices briefly fell to their lowest in over a month as investors sold gold to raise cash. The escalation of conflicts in the Middle East has also led to a sell-off in risk assets.

K-LinePoet

2026-04-08 14:54:06

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Gold fell for the sixth consecutive day, marking its longest losing streak since the end of 2024. Energy prices surged, and a U.S. inflation report came in hotter than expected, further fueling market speculation that the Federal Reserve will delay rate cuts this year. The gold price once dropped by 3.4%, hitting the lowest level in more than a month. With signs that the Iran war is becoming more apparent and escalating, more energy supply faces risk, pushing crude oil prices higher. The latest developments in the Middle East conflict also triggered a sell-off in risk assets, including equities, forcing some investors to sell gold to raise cash. Ewa Manthey, a commodity strategist at ING, said: “It looks like cross-asset reallocation. Oil prices reflect supply risk, while the drop in gold may be driven by both profit-taking and broader de-risking, as risk assets are sold off, the dollar strengthens, and real yields rise.” (Sina Finance)

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