Gold Slumps to Seven-Week Low as Oil and Yields Rise

Gold prices plummeted by about 3% to a seven-week low near $4,147 as oil and U.S. Treasury yields rose in tandem, increasing the likelihood of another Federal Reserve rate hike.

The spot price of gold fell to around $4,147.09 an ounce on Goldprice feeds, down $130.69 or 3.06% from the previous day's close.

Silver prices dropped even harder, with a decline of 3.5 to 5% towards $61 an ounce in various prints.

Platinum and palladium also fell by over 2%, while mining shares followed suit, with Newmont lower in premarket trade and silver miners such as Hecla and Endeavour Silver experiencing declines.

Ashish Rajodiya, head of commodities at PL Capital, noted that the oil spike was not acting as a classic safe-haven bid for gold, instead reinforcing the case for further Fed tightening.