Gold price breaks below $4,200 as surging Treasury yields deepen the technical damage - investingLive

AI desk brief

Gold fell below $4,200, hitting its weakest level in nearly eight weeks as a break of the $4,240 support zone deepened the technical damage. The next downside target cited is $4,000, while buyers need to reclaim $4,240 before any repair can begin; above that, $4,300-$4,330 is the next hurdle.

The macro backdrop remains the main drag: 10-year Treasury yields briefly touched 5.23% last week and are still around 5.20%, lifting the opportunity cost of holding non-yielding gold. Higher oil prices and renewed inflation concerns are also supporting expectations of more Fed tightening and a stronger dollar, which adds another layer of pressure on bullion.