Gold Prices Fell To Their Lowest Level Since Early August

• 2.09.2026, 18:37

Metal prices are falling amid escalating hostilities in the Middle East and concerns about inflation.

During trading on Wednesday, September 2, December gold futures on COMEX fell 1.53% to $4,329.2 per ounce. The last time gold prices fell below $4,330 per ounce was on August 7.

By the end of the day, the decline had slowed to 0.29%, and the price rebounded to $4,384 per ounce.

Gold has been falling for the fourth consecutive day amid escalating hostilities in the Middle East and inflation concerns. These factors have already led to rising bond yields and heightened expectations of interest rate hikes, according to Bloomberg (https://www.bloomberg.com/europe).

Bond yields rose worldwide, and stocks came under pressure after the U.S. struck targets in the Islamic Republic for the second time in three days, prompting a retaliatory response from Tehran.

Due to these factors, traders estimate that the probability of the Fed raising interest rates at its September 15–16 meeting has risen to 70%, with the market forecasting at least two rate hikes by March of next year. Rate hikes typically put downward pressure on gold prices, making the precious metal less attractive to investors.

“Rising oil prices could lead to tighter monetary policy and higher yields, which would limit the upside potential for gold prices,” said Bas Kooiman, CEO and Chief Investment Officer of DHF Capital S.A.