Rising Dollar and Peace Talks Lead to Global Decline in Gold and Oil Prices
November 24, 2025373 VistasTiempo de lectura: 3 minutos
Tamaño de fuente
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Commodity markets experienced a significant decline in gold and oil prices during trading on Monday, coinciding with a rise in the U.S. dollar, which reached its highest level in nearly six months. This surge in the dollar comes amid indications that the Federal Reserve may refrain from cutting interest rates in December, coupled with cautious optimism surrounding peace talks between Russia and Ukraine.
The Pressure on Gold
Gold prices continued to face downward pressure, with spot gold decreasing by 0.07% to $4,051.48 per ounce at the time of this report, after dipping to $4,040.33 in early trading. December futures also fell by 0.5% to $4,058.90.
This decline occurred as the dollar strengthened, reaching its highest point in almost six months late last week, supported by data indicating robust U.S. job growth in September, with an increase of 119,000 jobs.
The rising dollar makes gold, priced in dollars, more expensive for holders of other currencies, thereby dampening demand.
Additionally, recent economic data revealed a slowdown in U.S. manufacturing activity, hitting its lowest level in four months during November, attributed to tariffs and rising import costs.
Expectations for an interest rate cut next month have decreased to 69%, according to the FedWatch tool, down from 74% in the previous session, reducing the appeal of gold, which typically thrives in low-rate environments.
Performance of Other Metals
Silver: increased by 0.23% to $50.15 per ounce
Platinum: rose by 1.96% to $1,545.11
Palladium: climbed by 0.74% to $1,392.46
Oil Prices Decline Amid Peace Talk Optimism
In the energy sector, oil prices continued to fall, extending losses from the previous week, as optimism grew regarding a potential peace agreement between Moscow and Kyiv, which could allow for the return of significant amounts of Russian oil to the markets.
Brent crude futures dropped by 0.32% to $62.35 per barrel, while West Texas Intermediate crude fell by 0.4% to $57.84.
Both crude types had declined nearly 3% last week, marking their lowest levels since October 21, amid fears that lifting sanctions on Moscow—should a peace agreement be reached—could increase oil supply.
Market analyst Tony Sycamore from IG noted that selling pressures were driven by U.S. President Donald Trump's push for a "quick" peace deal between Russia and Ukraine, which markets view as a potential pathway for the return of Russian oil flows.
Despite U.S. sanctions against Rosneft and Lukoil coming into effect on Friday, freezing around 48 million barrels of Russian crude, markets believe that the move towards peace could overshadow the impact of these sanctions.
The Pressure on Gold
Gold prices continued to face downward pressure, with spot gold decreasing by 0.07% to $4,051.48 per ounce at the time of this report, after dipping to $4,040.33 in early trading. December futures also fell by 0.5% to $4,058.90.
This decline occurred as the dollar strengthened, reaching its highest point in almost six months late last week, supported by data indicating robust U.S. job growth in September, with an increase of 119,000 jobs.
The rising dollar makes gold, priced in dollars, more expensive for holders of other currencies, thereby dampening demand.
Additionally, recent economic data revealed a slowdown in U.S. manufacturing activity, hitting its lowest level in four months during November, attributed to tariffs and rising import costs.
Expectations for an interest rate cut next month have decreased to 69%, according to the FedWatch tool, down from 74% in the previous session, reducing the appeal of gold, which typically thrives in low-rate environments.
Performance of Other Metals
Silver: increased by 0.23% to $50.15 per ounce
Platinum: rose by 1.96% to $1,545.11
Palladium: climbed by 0.74% to $1,392.46
Oil Prices Decline Amid Peace Talk Optimism
In the energy sector, oil prices continued to fall, extending losses from the previous week, as optimism grew regarding a potential peace agreement between Moscow and Kyiv, which could allow for the return of significant amounts of Russian oil to the markets.
Brent crude futures dropped by 0.32% to $62.35 per barrel, while West Texas Intermediate crude fell by 0.4% to $57.84.
Both crude types had declined nearly 3% last week, marking their lowest levels since October 21, amid fears that lifting sanctions on Moscow—should a peace agreement be reached—could increase oil supply.
Market analyst Tony Sycamore from IG noted that selling pressures were driven by U.S. President Donald Trump's push for a "quick" peace deal between Russia and Ukraine, which markets view as a potential pathway for the return of Russian oil flows.
Despite U.S. sanctions against Rosneft and Lukoil coming into effect on Friday, freezing around 48 million barrels of Russian crude, markets believe that the move towards peace could overshadow the impact of these sanctions.
