Gold and Silver Plummet Amid Dollar Surge and Easing Tensions

On Thursday, gold and silver prices tumbled significantly as a stronger dollar combined with easing geopolitical tensions, contributing to one of the most significant market sell-offs in decades. Spot gold fell 2.9% to $4,816.75 per ounce, while U.S. gold futures for April delivery decreased by 2.3% to $4,839.10 per ounce.

Spot silver also faced a dramatic decline, down 15.5% at $74.40 an ounce after hitting a session low of $73.41. Recently, precious metals markets have experienced volatility following record highs and steep losses, with minor recoveries seen in recent days.

Analysts such as Fawad Razaqzada of City Index and FOREX.com noted that the recent gold recovery was just a temporary counter move amid larger market declines. Factors like the geopolitical developments among Russia, Ukraine, the U.S., and China, as well as the upcoming U.S.-Iran talks, are shifting market dynamics, weakening the previous drivers that pushed gold to recent peaks.