Gold sinks below $4,000 as traders eye Fed rates

Gold prices are falling from a peak of nearly $5,600 an ounce in late January, attributed to rising interest rate expectations and a stronger dollar.

Gold has entered bear market territory, sliding below US$4,000 an ounce for the first time since November 2025 as rising interest rate expectations and a strengthening dollar weigh heavily on bullion, though local traders argue the dip may not last long.

Siriluck Pakotiprapha, vice-president of research at Hua Seng Heng Futures, said a decline below $4,000 has significant implications for gold, which has tripled in price over the past three years from about $1,800 an ounce in 2023.