Precious Metals Plunge: Gold and Silver Extend Historic Losses
Gold and silver continued their sharp decline on Monday, deepening the losses seen last Friday. Spot gold fell significantly, marking one of its largest single-day drops in recent years, while silver experienced an even steeper plunge, falling around 30% from recent highs. The sudden sell-off has created a tense atmosphere among traders and investors who rely on precious metals as a safe haven.
Market analysts point to several factors driving this decline. A stronger U.S. dollar has reduced demand for dollar-denominated assets like gold and silver. Additionally, profit-taking after the recent surge in prices has accelerated the sell-off, pushing both metals lower. Investor sentiment has turned cautious, with fears of further losses keeping buyers on the sidelines.
Despite the steep drop, experts remind that precious metals remain a key part of diversified portfolios. While short-term volatility is high, these metals still offer long-term protection against inflation and economic uncertainty. Traders are closely watching the coming days for stabilization, but the market is likely to remain volatile as global economic signals continue to influence price movements.
