Gold rebounds from one-year low as oil slides ahead of US midterms
GLD•Gold rose 0.6% to $3,899.29 an ounce on Monday after hitting a one-year low, as falling oil prices eased inflation concerns. Silver gained 2.3% to $50.24 after slipping below $50 in the previous session.
1. Gold rebounds
Spot gold rose 0.6% to $3,899.29 an ounce by 1101 GMT, rebounding after it fell 3.6% on Friday to its lowest level since October 2025. December US gold futures gained 0.3% to $3,908.70.
2. Oil and rate outlook
Oil fell more than 4% as talks between Iranian and Qatari officials on a deal to end the US-Israeli war on Iran raised hopes that Middle East supply disruptions could ease. Lower oil prices can reduce inflationary pressure and expectations that interest rates will stay higher for longer, lowering the opportunity cost of holding non-yielding gold.
3. Investor focus shifts
Investors turned to the November 3 US midterm elections and their potential impact on fiscal policy, geopolitics and broader market sentiment. Silver rose 2.3% to $50.24 after falling below $50 for the first time since late November 2025 in the previous session; platinum gained 0.2% and palladium rose 0.3%.
