Gold Loses 27% and Silver 56% From Their Record Highs in 2026
Gold fell from $5,419 per ounce in January to around $4,004, a 27% decline, while silver lost 56% from $121.64 to $53.30 in a correction during a record year.
Gold has lost about 27% of its value since its peak last January, after falling from $5,419 per ounce on January 28 to around $4,004, while silver declined 56.04% from $121.64 to $53.30. A report by the Deccan Chronicle described the move as a correction within a year in which precious metals reached record highs before the sharp decline began.
The report said Friday's sell-off in precious metals came as the slump in technology and artificial intelligence stocks deepened, prompting traders to sell gold and silver to cover losses in other assets. It said the equity downturn accelerated after Meta announced plans to increase capital expenditure, reviving concerns that technology companies may take on more debt to fund the artificial intelligence buildout, citing Ajay Kedia, managing director of Kedia Commodities.
The report added that gold remained under pressure from rising oil prices, which heightened inflation concerns and expectations that interest rates would stay elevated for longer. Despite falling bond yields and a stabilising dollar, gold did not start gaining. The report said the US-Iran conflict reversed the traditional safe-haven behaviour of gold and silver, and with Brent crude trading above $110, inflation risks increased expectations of a US rate hike, weighing on the metal.
Kedia believes gold and silver may see some weakness in the short term, but both could move closer to their previous record highs by next year. He cited what the market showed over the past 25 years, saying gold falls when crude prices firm, but both metals return to record levels when oil prices cool, as happened from 2008 to 2011 and from 2022 to 2025.
What do these terms mean?
Ounce: A unit of weight for precious metals equal to approximately 31.1 grams, serving as the globally accepted pricing unit.
Price correction: A decline in the price of an asset following a strong rise, usually used to describe a temporary retreat that does not change the overall trend.
Capital expenditure: Money a company spends on long-term assets such as factories, servers and infrastructure, sometimes financed by borrowing.
Safe haven: An asset investors typically turn to when risks mount, expected to hold its value or rise when markets fall.
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