Gold Drops Below $5,000 Psychological Level, Hits One-Month Low

TradingKey - Gold prices briefly broke below the $5,000 mark this morning, hitting a new low since February 20.

During the early session on March 16 (GMT+8), gold prices continued to decline, briefly falling below the $5,000 psychological threshold. This morning, spot gold ( XAUUSD) fell to a low of $4,974 per ounce, marking its lowest point since February 20.

Gold price chart, Source: TradingView

Dragged down by gold, spot silver ( XAGUSD) followed with a correction, briefly losing the $80 mark during intraday trading. As of press time, silver prices have rebounded slightly, currently trading at $81.23 per ounce. It is evident that despite the ongoing uncertainty in the Middle East, gold and silver prices are becoming increasingly immune to the conflict as safe-haven demand declines, stripping the metals of their support.

Compared to gold and silver, crude oil prices are highly correlated with the dynamics of the U.S.-Iran conflict and are currently more favored by investors. This morning, WTI crude oil ( USOIL) opened higher and continued to climb, briefly breaking above the $100 per barrel mark.