Gold Rebounds After Worst October Decline Since 2008 As Investors Eye Bargains
Gold prices started the new week on a positive note after falling to their lowest level in the past year on Friday.
The price of one troy ounce of gold is currently trading at around $3,900. The precious metal has recovered some of its earlier losses following a 3.7 percent decline recorded on Friday. That drop marked gold's worst October performance since 2008.
Meanwhile, falling oil prices and the risk of an escalation of conflict in the Middle East continue to put pressure on the gold market. A sharp decline in global technology stocks has also weighed on precious metals. The recent downturn in the artificial intelligence sector has prompted investors to sell gold holdings to offset losses in other assets. However, selling pressure across markets eased on Monday. Losses in Asian stock markets were more limited compared with those recorded on Wall Street.
Experts believe that current gold prices are attractive to long-term investors, providing some buying support for the precious metal. As investors and potentially central banks cautiously increase their positions, price declines during the Asian trading session may create buying opportunities. Nevertheless, strategists have warned that risks in the gold market remain elevated.
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