Gold Breaks Below $4,000 on Wednesday, Down 3%; Year-to-Date Decline Hits 8%

According to Barron's, gold prices fell 3% on Wednesday (June 24), breaking below the $4,000 per ounce support level amid growing concerns over inflation and potential further Federal Reserve rate hikes. The year-to-date decline has reached nearly 8%, a sharp reversal from the record high of approximately $5,600 per ounce reached in late January.

U.S. 10-year Treasury yields have risen above 4.4%, while a stronger U.S. dollar has made gold more expensive for overseas buyers. Technical analysts warn that gold could face further downside risks if it fails to hold the $4,000 level, with potential targets as low as $3,750 in the coming months.