Gold prices plummet on the global market: What caused the drop in gold prices?

An unexpected and sharp change has occurred in the international precious metals market for investors and buyers — gold quotes have fallen to their lowest level seen in over a year.

On global commodity exchanges, the price of one troy ounce of gold plunged below the psychologically important threshold of $3,900. Prices for December futures contracts were recorded at $3,899 during trading. Such a decline was last observed in October 2025.

What factors are behind the price collapse?

International financial analysts and market experts point to the following two main reasons for the depreciation of precious metals:

• Strong US economic indicators: The stability observed in the American economy and strong macroeconomic reports have temporarily weakened investors' need for gold as a "safe haven" asset;

• Rising oil prices: The increase in commodity prices in the energy market has redistributed global capital flows, prompting exchange participants to re-evaluate their assets.

A favorable opportunity for buyers: What is expected in the jewelry market?

This decline on global exchanges will inevitably have an impact on the retail market and national jewelry sectors:

• The right time for jewelry purchases: For citizens planning to buy gold jewelry and gold items, the current situation is considered one of the most opportune times to closely monitor prices and make favorable purchases;

• Investment choice: According to experts, for those intending to make long-term investments, the correction in quotes offers a favorable entry point in terms of cost.