AGE Daily Gold Update

AGE Daily Gold Update presents a recap on today's action in the precious metals markets. View archives.

3/26/2026: Gold tumbles on higher oil

Source: Bill Musgrave, American Gold Exchange

Austin — New York spot gold tumbled 3.8% to close under $4,376 after President Trump threatened to intensify attacks on Iran, driving up oil prices and dashing hopes that a quick end to the war could prevent higher inflation and higher-for-longer interest rates. Silver shed 6.5% to finish at $67.67 an ounce.

Mixing his messages, Trump said today that Iran is "begging to work out a deal." But he also admitted that a ceasefire agreement might not be possible if Iran does not "get serious." In the meantime, US-Israel attacks on Iran will intensify, he said, suggesting that there will be no immediate conclusion to the one-month war.

Global benchmark Brent crude jumped nearly 6% to $108 per barrel on the statements, stoking concerns that an energy shock will fuel global inflation and higher interest rates from the Fed and other major central banks.

Gold typically trades in sympathy with oil as a hedge against energy-related inflation. But the US war on Iran has scrambled this correlation by increasing the likelihood that the Fed will no longer reduce interest rates this year, as expected before the attacks, and could even raise them.

Benchmark 10-year Treasury yields rose on the shifting outlook for inflation and interest rates, pressuring gold by increasing the opportunity cost for holding it instead of bonds for safety.

Tracking higher with yields, the dollar added 0.3% against major rivals. A stronger dollar weighs on gold and other commodities by making them more expensive in other currencies, undermining global demand.

Platinum and palladium lost 5.8% and 5.4%, respectively.

At the New York spot close: gold lost $174.30 to $4,375.50; silver shed $4.69 to $67.67; platinum dropped $112.70 to $1,833.45; and palladium slid $76.80 to $1,353.85 an ounce.