Shafaqna English– Gold experienced a modest decline on Monday(31 Aug 2026), driven by escalating geopolitical tensions in the Middle East, which reignited inflationary fears across global markets.
Concurrently, hawkish signals from the Federal Reserve Chair reinforced market expectations of further interest rate hikes in the United States, putting downward pressure on the non-yielding precious metal. Despite this daily drop, gold remained on course to register its most significant monthly gain since the start of the year.
By 08:35 GMT, spot gold had retreated 0.4%, trading at $4,436.04 per ounce, after briefly hitting its weakest level since August 19 earlier in the session. Meanwhile, US gold futures for December delivery fell more sharply, declining 1% to settle at $4,486.40, reflecting cautious sentiment among traders ahead of upcoming monetary policy signals.
Source: Reuters