Gold slips below $4,000 an ounce, posting sharpest decline in seven months

Gold fell below $4,000 an ounce on Wednesday afternoon, recording its steepest drop since November 2025, according to Reuters data. Spot gold traded at $4,064.01 per ounce, down 1.1 percent, while August U.S. gold futures lost 1.7 percent to settle at $4,080.80. The sell-off was driven by expectations of tighter U.S. monetary policy. CME FedWatch data showed investors now expect three interest rate increases in 2026, revising an earlier forecast of a single hike. The dollar also climbed to its highest level since the start of the year, making gold more expensive for buyers outside the United States and adding to the selling pressure. Other precious metals followed gold lower. Silver declined 1.6 percent to $61 per ounce, platinum fell 1.2 percent to $1,632.04, and palladium slipped 1 percent to $1,225.35.