Gold's Worst Week in 40 Years Despite US-Iran War: Why Prices Are Falling

• Gold prices experienced their worst weekly performance in over 40 years, falling 11% last week and another 3% on Monday.
• This decline occurred despite the US-Iran war entering its fourth week, a conflict typically boosting safe-haven assets like gold.
• Rising oil prices due to the West Asia war are causing inflation risks, leading central banks to consider monetary tightening instead of easing.
• Higher interest rates are negative for non-interest yielding assets like gold, and a strong US Dollar further pressures prices.
• Technically, gold is oversold, with analysts suggesting a short-term bounce, but geopolitical tensions remain a key factor.