Gold Slumps Near $4,378 as Macro Headwinds Mount

Gold futures have been under downward pressure in recent weeks, hovering near $4,378 per troy ounce following a multi-week correction from earlier-year highs.

The macroeconomic landscape has shifted with hotter-than-expected metrics, including an acceleration in the US Producer Price Index (PPI) and strong job growth, reigniting expectations for Federal Reserve monetary tightening.

As a result, the US Dollar and Treasury yields have remained resilient, keeping gold under pressure due to its non-yielding nature and price sensitivity to the dollar.

Despite this headwind, central bank buying continues to provide a structural floor, while silver fundamentals remain strong, driven by industrial demand and valuation cycles.