Gold steadies near $4,000 after sliding into bear market
Why it matters: A stronger dollar and higher-rate bets have pushed bullion more than 20% below its January peak near $5,600.
Gold hovered near $4,000 an ounce on Thursday after a sharp sell-off pushed the metal below that level for the first time since November and left it in a bear market. Spot gold was up 0.1% at $4,002.82 in Singapore trading after dropping nearly 3% in the previous session. The move has been driven by a stronger US dollar and rising expectations that the Federal Reserve will keep borrowing costs higher, reducing gold’s appeal against yield-bearing assets. Gold has now fallen more than 20% from its late-January record near $5,600. Silver also steadied after a nearly 7% drop sent it below $60 an ounce for the first time since December.