Gold, Silver Prices Fall as Rising Yields and Stronger Dollar Weigh on Bullion

Gold and silver prices continue to fall under pressure as rising US Treasury yields, a stronger dollar, and growing expectations of a Federal Reserve rate hike weigh on non-yielding assets. On COMEX, gold futures dropped 0.98% to $4,353.10 an ounce, while silver futures fell 1.80% to $64.19 an ounce.

The weakness in precious metals comes amid a broader risk-off move in global markets, with Asian stocks falling sharply after renewed US strikes on Iran pushed oil prices higher. Brent crude rose 0.7% to $95.34 a barrel, reviving concerns about inflation and making it harder for the Fed to ease monetary policy.

Markets are reassessing the Fed's interest-rate outlook, with traders pricing in a 67% probability of a 25-basis-point rate hike at the September 16 meeting, up from 39.6% a week earlier. The renewed escalation between the US and Iran has added another layer of uncertainty, as geopolitical tensions can traditionally support safe-haven demand for gold.