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Gold plunges over 22% into bear market amid inflation fears and rising oil prices.

Market News
23 Mar 2026
Rishabh Mishra
View Source
Bearish
pluang ai news

Gold prices have fallen more than 22% from their January peak, entering a bear market due to rising oil prices linked to the U.S.-Iran conflict, which is fueling inflation and prompting a hawkish Federal Reserve stance. Despite gold's historic sell-off, physical gold buying continues, especially by central banks like China, while major banks maintain bullish long-term price targets. The Federal Reserve held interest rates steady but warned that higher energy costs will keep inflation elevated, increasing real yields and making gold less attractive compared to Treasuries. This dynamic has led to a paradox where inflation pressures both boost and weigh on gold prices.

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