Gold fell to its lowest level in a year on Friday and silver dropped below 50 dollars an ounce, as rising oil prices hardened expectations of another Federal Reserve rate increase and a deepening selloff in technology stocks forced investors to liquidate metals to cover losses elsewhere. Spot gold fell as much as 3.2 percent to 3,891.67 dollars an ounce, its weakest since October 28 last year, and traded down 2.7 percent at 3,910.53 dollars by late morning in New York. Front month Comex gold for November delivery settled 3.3 percent lower at 3,885.70 dollars an ounce, its lowest settlement since October 3, 2025.
Silver fell harder. Spot silver slid 5.8 percent to 49.34 dollars an ounce, its first time under 50 dollars since November 2025, and front month Comex silver sank 5.9 percent to 49.097 dollars, its lowest close since November 7. Silver is down roughly 18 percent for October and has given back everything it gained since early December, when it began the two month run that carried it above 120 dollars. Gold is on track for a drop of about 6 percent in October, its worst October since 2008 and a second straight monthly decline, and trades about 28 percent below the record close of 5,419.83 dollars set on January 28. Platinum dropped 4 percent to its lowest since September 2025 and palladium fell 3.1 percent to a June 2025 low.
The selling had two drivers, according to strategists cited by Reuters and Bloomberg. The prospect of renewed United States military action against Iran pushed Brent crude to its highest since April, reinforcing the inflation worries behind this week’s central bank caution, and data on Thursday showed United States inflation accelerated in September, with traders pricing a more than 70 percent chance of a Fed hike in December. At the same time, technology shares led global stocks lower for a second day, and analysts at Commerzbank said the fall in tech stocks may have prompted margin calls and forced selling, while calling the decline in precious metals exaggerated. Physical buyers did not step in: demand in India stayed subdued and demand in China, the top consumer, stayed muted.
Producers fell further than the metals. Newmont, the world’s largest gold miner, dropped 5 percent by late morning, cutting its market value to 110 billion dollars and leaving the stock more than 20 percent below its 52 week high. Agnico Eagle lost 6.7 percent to an 83 billion dollar valuation and Barrick Mining fell 5 percent to 60 billion dollars, both now roughly a third off their peaks. Kinross Gold was the worst of the majors, sliding 7.7 percent to the edge of its 52 week low, worth 23 billion dollars after shedding 17 percent in October alone. Wheaton Precious Metals lost 5.1 percent, while Franco-Nevada, down 2.2 percent, held up best and sits 21 percent off its peak. Together, Newmont, Agnico, Barrick, Wheaton and Franco-Nevada have lost almost 140 billion dollars in combined market value from their 52 week highs, with Agnico alone accounting for more than 40 billion dollars.
Silver producers took the heaviest damage. Hecla Mining fell 6 percent and has lost 60 percent from its 52 week high, taking its market capitalization to 9 billion dollars. Coeur Mining dropped 6.2 percent to a 13.5 billion dollar valuation, down 25 percent in October and 53 percent from its peak, and First Majestic Silver fell 6 percent and has lost more than half its value from its high. Pan American Silver fell 6.3 percent to a 16 billion dollar valuation, 44 percent below its high. The sector indexes told the same story at the close: gold miners fell 5.21 percent to 77.09 dollars, silver miners fell 5.58 percent to 71.25 dollars, copper miners fell 5.19 percent, uranium miners fell 5.57 percent and rare earth miners fell 5.12 percent, while lithium and battery shares fell a milder 1.85 percent. The divergence is the point for miners: at spot prices near 3,900 dollars, senior gold producers still earn wide margins over the all in sustaining costs reported this earnings season, but the equity market is now pricing the metal, not the margin.