Gold dipped below $4,000 a troy ounce Friday, Oct. 23, as stocks sold off, Bloomberg and the Financial Times reported. Bloomberg said bullion fell as much as 0.9% to below $3,990, its lowest level since mid-July, before paring losses. The FT recorded a low of $3,986.50 before prices recovered some ground. It said gold had lost 2.8% on Thursday and was down 3.3% for the week at the time of its report.
Bloomberg reported that US Treasuries largely held the previous session's gains Friday as investors moved out of AI-related companies and sought safety in US bonds. The FT said investors had rushed into Treasuries and other perceived havens Thursday amid concerns about the AI boom, even as gold sold off during the week.
Berenberg analysts called gold's decline “despite the risk-off backdrop” a “notable divergence,” the FT reported. Gold is often used as a haven investment, and lower bond yields typically benefit the metal because it pays no yield, the paper explained. The analysts said a confirmed Friday close below $4,000 would likely trigger further gold ETF outflows and technical selling across gold equities. The FT did not give a Friday closing price.
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