Tech rout drives gold to one-year low as white metals sink into oversold zone
GLD•Gold fell 3.1% to $3,897.09 an ounce, its lowest level since October 2025, while silver dropped 6% below $50 for the first time in 11 months and palladium fell below $1,000. Silver, platinum and palladium entered technically oversold territory.
1. Precious metals fall
Gold prices hit a one-year low on Friday as technology shares slumped amid worries that AI spending may not deliver sufficient returns. Spot gold fell 3.1% to $3,897.09 an ounce, while silver dropped 6% to $49 and palladium slid below $1,000.
2. Selling pressure deepens
Analysts at Commerzbank said the technology-stock decline may have led to forced selling of safe-haven assets and margin calls, while adding that they expected a recovery in precious metals. Gold is down 30% since reaching a record $5,595 in January, amid bets on interest rates staying higher for longer and muted demand in Asia. Analysts said central bank demand tends to strengthen when gold is below $4,000.
3. White metals oversold
Silver, platinum and palladium fell 7% to 9% this week, compared with a 2% decline in gold, taking their Relative Strength Index into oversold territory for the first time in three years. Platinum touched a 13-month low and was last down 4% at $1,434; palladium touched a 17-month low and was last down 3% at $977, under pressure from worries about auto-sector demand. HSBC said industrial and jewellery demand for silver was falling and expected an average price of $64 an ounce in 2027.
