Gold price falls as Bloomberg’s Mike McGlone warns of deeper reset in metals

Gold’s sharp selloff is testing one of the market’s oldest assumptions. Despite an escalating Middle East conflict, bullion has fallen back toward multi-week lows, pressured by surging oil prices, a stronger US dollar and rising expectations that interest rates will stay higher for longer.

Bullion’s decline extended further heading into this week, when bullion plunged to its lowest this year at nearly $4,100 an ounce earlier on Monday before recovering. By market close, it held the $4,400 level — for a 3% gain on the year.

As energy absorbs the safe-haven bid and inflation fears build, investors are pulling back from precious metals — raising fresh questions about whether the rally has run its course.

Bloomberg Intelligence’s Mike McGlone speaks to MINING.COM’s Devan Murugan, arguing that gold and silver may have gone too far, and that markets are now entering a period of normalization, with volatility rising and better opportunities potentially ahead.