On Wednesday, gold futures fell 1.24% to $3,989.00, while spot prices decreased by 0.82% to $3,974.51. This decline follows a significant drop of about 16% in the second quarter of 2026, marking the worst quarter for gold since 2013. Year-to-date, gold has decreased by 7.76%. The decline is attributed to a negative outlook on gold as a non-yielding asset amid expectations of higher interest rates.
Despite this downturn, Amundi Investment Institute suggests that gold still holds value in investment portfolios, especially as central banks diversify away from dollar-based assets and face challenges like volatile inflation and increasing concentration risks. The World Gold Council's survey indicates that more central banks are likely to increase their gold reserves in the coming year.
Additionally, silver prices also fell, with futures down 3.34% to $57.49 and spot silver down 1.31% to $57.80