Gold Prices Slide To One-Year Low After Tech Stock Rout; Silver, Platinum And Palladium Enter Oversold Territory

Gold prices came under heavy pressure on Friday and hit a one-year low as the technology stock rout unsettled global markets. Concerns that significant artificial intelligence (AI) investments may not generate sufficient returns added to investor anxiety.

The resulting market weakness also hit precious metals, with silver, platinum and palladium recording sharper declines.

Spot gold fell 3.5% to $3,880.97 an ounce by 2:13 pm ET (11:43 pm IST), its lowest level since October 2025. US gold futures for December delivery settled 3.3% lower at $3,898.90 an ounce. Silver declined 6.5% to $49, slipping below $50 for the first time in 11 months. And Palladium dropped below $1,000.

Gold Prices Fall As Technology Sell-Off Triggers Market Pressure

Gold has declined 30% since reaching a record high of $5,595 in January 2026. Expectations that interest rates could remain higher for longer and subdued demand in Asia have weighed on prices.

Analysts attributed Friday’s sharp fall partly to forced selling of safe-haven assets, including gold, as tech stocks declined. Margin calls may also have added to the selling pressure. However, analysts expect precious metals to recover. They also noted that central bank demand tends to strengthen when gold trades below $4,000 an ounce.

Silver, Platinum And Palladium Enter Oversold Territory

Silver, platinum and palladium declined between 7% and 9% during the week, compared with a 2.9% fall in gold. Their relative strength index (RSI) entered deeply oversold territory for the first time in three years, indicating strong downward momentum.

Silver has increasingly been viewed as an industrial growth-linked commodity. Falling industrial and jewellery demand has added to the pressure. An industry forecast puts the average silver price at $64 an ounce in 2027, down from an expected average of $71 in 2026.

The gold-to-silver ratio also climbed. Buying one ounce of gold now requires 79 ounces of silver, compared with 46 ounces in January 2026, when silver reached a record $122. Historical data suggests further downside for silver relative to gold, with the ratio averaging 82 between 2020 and 2025.

Platinum And Palladium Face Additional Demand Concerns

Platinum touched a 13-month low, while palladium fell to its lowest level in 17 months. Palladium slipped below $1,000 an ounce to $976.08, while platinum declined 4.2% to $1,425.02.

Concerns over demand from the automobile sector weighed on both metals. The gold-to-platinum ratio rose to 2.7, its highest level since mid-2025. Unlike gold, the white metals have received less support from central bank purchases and safe-haven investment demand.

Also Read - US Market Crash: Nasdaq 100 Plunges 3.5% As AI Spending Fears, Weak Tech Results And Oil Prices Rattle Wall Street