Global Gold Prices Plummet Nearly 10%, Worst in 15 Years
Jakarta, VIVA – Global gold prices are under the spotlight from investors worldwide as geopolitical conflicts in the Middle East continue. Rather than a dramatic surge, the spotlight is on the inability of this precious metal to hold steady, experiencing a significant decline that is the worst in the last 15 years.
Citing CNBC International, Saturday, 21 March 2026, gold recorded a correction of 9.6% throughout the week. This decline marks the largest weekly loss since September 2011.
Nevertheless, gold prices have still posted a gain of more than 5% throughout 2026, reflecting a strong rally before tensions in the Persian Gulf region heated up. Currently, gold prices are at US$4,494.1, down 2.36% as of 17:15 New York time, according to Gold Price data.
Pressure has also hit other precious metals. Silver prices fell more than 2% to US$69.66 per ounce, the lowest closing level since December. Over the week, silver has dropped more than 14% and recorded three consecutive weeks of weakness, while it has corrected by more than 1% so far this year.
Instead of market participants shifting funds to safe-haven assets, gold is facing pressure due to growing investor concerns over the economic impact of the war between the United States (US) and Iran.
Turmoil in the energy market has further worsened global investor sentiment. World oil prices have surged to breach US$112 per barrel, triggering high volatility in financial markets. This situation has widespread effects, from commodities markets to global stock exchanges.
Major stock indices, the Dow Jones Industrial Average and Nasdaq Composite, are even approaching a 10% correction from their highs, signalling significant pressure on Wall Street.
“That movement is now almost fully unwound and even quite deeply so. Much of this is momentum-based trading that has now reversed direction,” said Arthur Parish, analyst for metals and mining at SP Angel.
He added that the previous surge in gold prices was driven by retail investors and hedge funds capitalising on the upward trend. However, those funds are now starting to exit the market.
“Those funds are not tied to long-term positions in gold. They are starting to exit, and this may actually be necessary for gold to rise again in the next phase,” Parish explained.