{"id":58244,"date":"2026-08-03T10:16:12","date_gmt":"2026-08-03T10:16:12","guid":{"rendered":"https:\/\/www.vtmarkets.com\/en-ca\/uncategorized\/why-can-gold-prices-fall-during-geopolitical-crises\/"},"modified":"2026-08-03T10:16:12","modified_gmt":"2026-08-03T10:16:12","slug":"why-can-gold-prices-fall-during-geopolitical-crises","status":"publish","type":"post","link":"https:\/\/www.vtmarkets.com\/en-ca\/discover\/why-can-gold-prices-fall-during-geopolitical-crises\/","title":{"rendered":"Why Can Gold Prices Fall During Geopolitical Crises"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\"><em>Gold is often viewed as a safe-haven asset during periods of geopolitical uncertainty, but gold prices can still fall during wars, market crashes and global crises. The reason is that gold does not respond to fear alone. Its price is also influenced by interest rates, real yields, the US dollar, investor positioning and liquidity conditions. This guide explains why gold prices fall during geopolitical crises, the key factors driving XAUUSD movements, historical examples of major gold declines, and how traders can analyse gold price movements in both rising and falling markets.<\/em><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Key Takeaways:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Gold prices fall when the return on cash and bonds rises, because gold pays no yield of its own.<\/li>\n\n\n\n<li>A crisis can push gold lower if it lifts inflation, rate expectations and <strong>real interest rates<\/strong> at the same time.<\/li>\n\n\n\n<li>In the first days of a market crash, <strong>margin calls<\/strong> force traders to sell gold simply to raise cash.<\/li>\n\n\n\n<li>Gold can drop sharply in US dollars while barely moving in a weaker local currency.<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">Every headline says gold is the ultimate <strong>safe haven asset<\/strong>. Then you open your XAUUSD chart, and the candle is red. It feels wrong. It is not.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Gold prices fall during geopolitical crises far more often than most traders expect. The metal is not a fear thermometer. It is a <strong>non-yielding asset<\/strong> priced in US dollars. This precious commodity answers to interest rates, currency moves and positioning long before it answers to the news cycle.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">This guide explains exactly why gold prices fall, using worked examples, real crash episodes and practical steps you can apply to your own trading.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Why Gold Prices Fall Even When the World Feels Unsafe<\/strong><\/h2>\n\n\n\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" src=\"https:\/\/www.vtmarkets.com\/wp-content\/uploads\/2026\/08\/gpf-1024x558.webp\" alt=\"Why Can Gold Prices Fall During Geopolitical Crises\" class=\"wp-image-64016\"\/><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\">Gold doesn&#8217;t always move the way instinct suggests. Here&#8217;s what actually drives it and why crises can still send the price down.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>What Makes Gold Prices Fall in the First Place<\/strong><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Gold has no earnings, no dividends and no coupons. Its entire return comes from price movement. That single fact explains most of what follows.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">When holding gold becomes expensive relative to other assets, money leaves. When it becomes cheap, money returns. Crises matter only when they change that calculation.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Five forces do most of the damage:<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><tbody><tr><td><strong>Force<\/strong><\/td><td><strong>What Happens<\/strong><\/td><td><strong>Why Gold Prices Fall<\/strong><\/td><\/tr><tr><td>Rising <strong>bond yields<\/strong><\/td><td>Cash and Treasuries start paying more<\/td><td>Gold pays nothing, so it loses the comparison<\/td><\/tr><tr><td>A stronger US dollar<\/td><td>The dollar index climbs<\/td><td>Gold costs more in every other currency<\/td><\/tr><tr><td>Risk appetite returns<\/td><td>Equities and credit rally<\/td><td>Money rotates out of defensive assets<\/td><\/tr><tr><td><strong>Profit-taking<\/strong><\/td><td>Traders bank gains after a long run<\/td><td>Selling pressure outweighs new buying<\/td><\/tr><tr><td>Forced liquidation<\/td><td>Leveraged positions get closed<\/td><td>Gold is sold because it is liquid, not because it is weak<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>The Opportunity Cost Problem That Sits Behind Every Fall<\/strong><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Every ounce of gold you hold is money, not earning interest somewhere else. That gap is the <strong>opportunity cost of holding gold.<\/strong> This is the single most reliable driver of the price.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A simple calculation makes it obvious:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>You hold $100,000 in gold for one year.<\/li>\n\n\n\n<li>A one-year US Treasury bill yields 4.5% over the same period.<\/li>\n\n\n\n<li>You give up $4,500 in interest by choosing gold.<\/li>\n\n\n\n<li>Gold must rise 4.5% just to match the risk-free alternative.<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">Raise that yield to 6%, and the hurdle climbs again. At some point, large institutions stop paying it.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">This is why gold prices fall during crises that push interest rates higher. The fear is real, but the maths has turned against the metal.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>How Real Interest Rates and the Dollar Make Gold Prices Fall<\/strong><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Two forces do most of the work here: what bonds pay after inflation, and how the dollar&#8217;s strength changes gold&#8217;s price for buyers everywhere else.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Why Gold Prices Fall When Real Yields Rise<\/strong><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">The <strong>real interest rate<\/strong> is the nominal yield on a government bond minus the rate of inflation. It tells you what a bond actually earns you in purchasing power.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Here is the same bond in two different worlds:<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><tbody><tr><td><strong>Scenario<\/strong><\/td><td><strong>Nominal Yield<\/strong><\/td><td><strong>Inflation<\/strong><\/td><td><strong>Real Yield<\/strong><\/td><td><strong>Effect on Gold<\/strong><\/td><\/tr><tr><td>Bonds win<\/td><td>4.5%<\/td><td>2.5%<\/td><td>+2.0%<\/td><td>Strong headwind<\/td><\/tr><tr><td>Gold wins<\/td><td>4.5%<\/td><td>5.5%<\/td><td>-1.0%<\/td><td>Strong tailwind<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\">The nominal yield is identical. The outcome for gold is opposite. Most retail traders watch inflation and expect gold to rise. Professionals watch the gap between yields and inflation instead.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Why Dollar Strength Reduces Overseas Demand<\/strong><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Gold is quoted in US dollars worldwide. When the dollar strengthens, the metal becomes more expensive for every buyer outside the United States.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The knock-on effects are direct:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Physical gold demand<\/strong> softens in India, China, Turkey and the Gulf.<\/li>\n\n\n\n<li>Jewellery orders get delayed or downsized.<\/li>\n\n\n\n<li>Dollar-based investors see better returns in US assets and rotate away.<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">There is an exception. Gold and the dollar can rise together when investors flee everything else at once, as both are treated as liquidity of last resort. Correlation is a tendency, not a rule.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Why Gold Prices Fall When You Would Expect Them to Rise<\/strong><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Sometimes gold falls for reasons that seem to contradict the headlines. Below explains what&#8217;s really happening. We will begin with how inflation and rate expectations interact. Next, why crashes trigger forced selling. Then, why tension easing can hurt the price, and why &#8220;gold always goes up&#8221; doesn&#8217;t hold.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Why Is the Gold Price Dropping While Inflation Is High?<\/strong><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">This is the question that confuses most new traders. Thus, <strong>why is the gold price dropping<\/strong> is one of the most searched phrases in the market for exactly that reason.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Gold is an <strong>inflation hedge<\/strong>, so high inflation should mean a higher price. In practice, the sequence works differently.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>High inflation triggers a hawkish central bank response.<\/li>\n\n\n\n<li>Markets price in rate hikes rather than rate cuts.<\/li>\n\n\n\n<li>Nominal yields rise faster than inflation expectations.<\/li>\n\n\n\n<li>Real yields turn positive, and gold loses its edge.<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">Gold hedges <em>unexpected <\/em>inflation and currency debasement. It does not hedge inflation that central banks are actively fighting with higher rates.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The 2026 correction is a textbook example:<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Gold set an<a href=\"https:\/\/www.gold.org\/goldhub\/research\/gold-mid-year-outlook-2026\" target=\"_blank\" rel=\"noopener nofollow\" title=\"\"> intraday record near $5,595 an ounce<\/a> on 29 January 2026. The Strait of Hormuz disruption then pushed<a href=\"https:\/\/www.eia.gov\/todayinenergy\/detail.php?\" target=\"_blank\" rel=\"noopener nofollow\" title=\"\"> Brent crude above $100 <\/a>and drove <a href=\"https:\/\/www.bls.gov\/opub\/ted\/2026\/consumer-prices-up-4-2-percent-over-the-year-ended-may-2026.htm\" target=\"_blank\" rel=\"noopener nofollow\" title=\"\">US headline inflation to 4.2% y-oy in May 2026<\/a>, a three-year high.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Rate cut bets flipped to rate hike bets. Gold fell roughly 27% to <a href=\"https:\/\/www.gold.org\/goldhub\/research\/gold-mid-year-outlook-2026\" target=\"_blank\" rel=\"noopener nofollow\" title=\"\">around $4,080 by late July 2026<\/a>, its worst quarter in 13 years. The crisis was ongoing. The price still fell.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>How Margin Calls Force Gold Selling in a Market Crash<\/strong><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">In the opening days of a genuine panic, gold often falls with everything else. This is not a failure of the safe haven argument. It is plumbing. Leveraged investors facing losses elsewhere must post cash quickly. Therefore, they sell what they can, not what they want to.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Gold is one of the most liquid assets on any balance sheet.<\/li>\n\n\n\n<li>It can be sold in size without moving the market too far.<\/li>\n\n\n\n<li>It is often the only position still showing a profit, and selling winners is the fastest way to raise cash.<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">In March 2020, gold fell around 12% between 9 and 19 March as this <strong>liquidity squeeze<\/strong> ran its course. By August 2020 it had set a<a href=\"https:\/\/www.lbma.org.uk\/articles\/lbma-london-gold-price-breaks-all-time-record-as-year-draws-to-a-close\" target=\"_blank\" rel=\"noopener nofollow\" title=\"\"> fresh record above $2,060<\/a>.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The initial drop was mechanical. The recovery was fundamental.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Why Safe Haven Demand Fades When Tensions Ease<\/strong><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Markets price expectations, not events. By the time a conflict is confirmed, much of the risk is already in the price. Traders call this &#8220;buy the rumour, sell the fact&#8221;. The <strong>geopolitical risk premium<\/strong> builds during escalation and drains during resolution.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Tensions rise, and speculative long positioning builds quickly.<\/li>\n\n\n\n<li>The event happens, and the uncertainty is resolved either way.<\/li>\n\n\n\n<li>Diplomatic progress removes the reason the premium existed.<\/li>\n\n\n\n<li>Positioning unwinds, and gold prices fall even as the conflict continues.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>What &#8220;Gold Always Goes Up&#8221; Gets Wrong<\/strong><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Gold is a volatile asset with a long history of deep <strong>drawdowns<\/strong>. Generally, a fall of 28% requires a rise of 39% just to reach break-even again. That is years of waiting for anyone who bought the top without a plan.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>How Demand Pressure Makes Gold Prices Fall<\/strong><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">This section covers: Gold prices can fall when demand weakens or selling pressure increases. Jewellery buyers, investors, and central banks all influence market direction. Meanwhile, past crashes show common patterns behind major declines.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Jewellery Demand, India and China<\/strong><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Roughly half of annual gold demand comes from jewellery, and India and China dominate that market. When local prices spike, buyers do something rational. They wait.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Wedding season purchases get postponed or reduced in weight.<\/li>\n\n\n\n<li><strong>Recycled gold supply<\/strong> increases as households sell old pieces at high prices.<\/li>\n\n\n\n<li>More metal enters the market at exactly the moment demand softens.<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">Demand can also rotate rather than disappear. Indian demand <a href=\"https:\/\/www.gold.org\/goldhub\/research\/gold-demand-trends\/gold-demand-trends-india-focus-q1-2026\" target=\"_blank\" rel=\"noopener nofollow\" title=\"\">rose 10% year on year to 151 tonnes<\/a> in Q1 2026, as buyers shifted from jewellery into bars, coins and digital gold.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Gold ETF Outflows and Central Bank Activity<\/strong><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Institutional flows move the price faster than retail buying ever could.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Gold ETF outflows<\/strong> force physical selling, because ETFs must sell bullion to redeem shares.<\/li>\n\n\n\n<li>Falling prices trigger further outflows, creating a self-reinforcing loop.<\/li>\n\n\n\n<li>Speculative futures positioning unwinds and adds to the pressure.<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">Central bank buying works the other way and has been structural support. Central banks and other official-sector institutions made <a href=\"https:\/\/www.gold.org\/goldhub\/research\/gold-demand-trends\/gold-demand-trends-full-year-2025\/central-banks\" target=\"_blank\" rel=\"noopener nofollow\" title=\"\">estimated net gold purchases of 863 tonnes in 2025<\/a>, the fourth-highest annual total.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">When that bid slows, one of gold&#8217;s steadiest floors gets thinner.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Gold Price Crash History: When Gold Prices Fall Hardest<\/strong><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Studying <strong>gold price crash history<\/strong> is the fastest way to understand what a falling market actually looks like.<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><tbody><tr><td><strong>Episode<\/strong><\/td><td><strong>Peak<\/strong><\/td><td><strong>Trough<\/strong><\/td><td><strong>Approximate Fall<\/strong><\/td><td><strong>Main Driver<\/strong><\/td><\/tr><tr><td>1980 to 1982<\/td><td>~$850 (Jan 1980)<\/td><td>~$300 (mid-1982)<\/td><td>About 65%<\/td><td>Volcker rate rises above 15%<\/td><\/tr><tr><td>2011 to 2015<\/td><td>~$1,920 (Sep 2011)<\/td><td>~$1,045 (Dec 2015)<\/td><td>About 45%<\/td><td>Rising real yields, huge ETF outflows<\/td><\/tr><tr><td>April 2013<\/td><td>~$1,560<\/td><td>Below $1,400 in two sessions<\/td><td>Nearly 7% in two days<\/td><td>Fed taper fears and forced selling<\/td><\/tr><tr><td>March 2020<\/td><td>~$1,700 (9 Mar)<\/td><td>~$1,470 (19 Mar)<\/td><td>About 12%<\/td><td>Liquidity squeeze and margin calls<\/td><\/tr><tr><td>2026 correction<\/td><td>~$5,595 (29 Jan 2026)<\/td><td>~$4,000 (Jun 2026)<\/td><td>About 27%<\/td><td>Inflation shock and rate hike repricing<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\">Source: <a href=\"https:\/\/www.gold.org\/goldhub\/data\/gold-prices?\" target=\"_blank\" rel=\"noopener nofollow\" title=\"\">World Gold Council<\/a>; <a href=\"https:\/\/www.lbma.org.uk\/alchemist\/issue-74\/after-the-gold-crash?\" target=\"_blank\" rel=\"noopener nofollow\" title=\"\">LBMA<\/a><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">After the 1980 peak, gold did not reclaim that nominal high until January 2008. Twenty-eight years is a long time to be wrong.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>What These Episodes Have in Common<\/strong><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Look past the different decades and the same fingerprints appear every time:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Real interest rates were rising or expected to rise.<\/li>\n\n\n\n<li>Speculative positioning was crowded on the long side beforehand.<\/li>\n\n\n\n<li>Leverage amplified the move once selling began, and the fall was faster than the rally before it.<\/li>\n\n\n\n<li>The bullish case for gold was still being argued loudly while the price dropped.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Why Gold Prices Fall in Dollars but Not in Your Currency<\/strong><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Gold prices can move differently depending on your currency. Exchange rates can offset or amplify gold\u2019s gains and losses, changing the real impact for local investors.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>How Currency Conversion Changes the Picture<\/strong><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">If you live outside the United States, the headline price is not your price. The exchange rate does half the work. Here is a worked example using the Malaysian ringgit:<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><tbody><tr><td><\/td><td><strong>Gold in USD<\/strong><\/td><td><strong>USD\/MYR<\/strong><\/td><td><strong>Gold in MYR<\/strong><\/td><\/tr><tr><td>Starting point<\/td><td>$4,000<\/td><td>4.20<\/td><td>16,800<\/td><\/tr><tr><td>After the move<\/td><td>$3,600<\/td><td>4.70<\/td><td>16,920<\/td><\/tr><tr><td>Change<\/td><td><strong>-10.0%<\/strong><\/td><td><strong>+11.9%<\/strong><\/td><td><strong>+0.7%<\/strong><\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<p class=\"wp-block-paragraph\">Gold fell 10% in dollars. In ringgit terms it edged higher. This is why headlines and your local price so often disagree, and why gold has historically protected savers best in currencies that are weakening.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>How to Check Gold in Your Own Currency<\/strong><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">You do not need a spreadsheet to do this. Both MetaTrader 4 and MetaTrader 5 on VT Markets let you check it directly.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Open the <a href=\"https:\/\/www.vtmarkets.com\/discover\/xau-usd-trading-a-beginners-guide-to-gold-vs-us-dollar\/\" target=\"_blank\" rel=\"noopener\" title=\"\">XAUUSD <\/a>chart and note the current <strong>spot gold price<\/strong>.<\/li>\n\n\n\n<li>Open your local currency pair, for example USD\/MYR, USD\/THB or USD\/MXN.<\/li>\n\n\n\n<li>Multiply the two figures to get gold in your own currency.<\/li>\n\n\n\n<li>Save both charts side by side, and check monthly rather than daily to see the trend instead of the noise.<\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>How to Read a Falling Gold Price and Trade It<\/strong><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">In this last section, we explore why trading gold during a decline requires understanding whether the move is temporary or part of a larger trend. Key signals, market conditions, and risk management help traders make more informed decisions in both rising and falling markets.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>1. Signals a Fall May Continue, and Signals It May Be Temporary<\/strong><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">The difference between a correction and a trend change usually shows up in the drivers, not the candles.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Signals that a fall may continue:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Real yields are still rising and the central bank remains hawkish.<\/li>\n\n\n\n<li>The dollar index is trending higher across multiple pairs.<\/li>\n\n\n\n<li>ETF holdings are falling week after week.<\/li>\n\n\n\n<li>Price is making lower highs and lower lows on the weekly chart.<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Signals that a fall may be temporary:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The selling coincides with a broad <strong>liquidity squeeze<\/strong> across all assets.<\/li>\n\n\n\n<li>Central bank buying and physical demand remain firm.<\/li>\n\n\n\n<li>Positioning has already been flushed out and open interest has collapsed.<\/li>\n\n\n\n<li>Price holds a well-tested <strong>support level<\/strong> on high volume.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">2. <strong>Is Gold Expected to Go Up or Down From Here?<\/strong><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Traders constantly ask <strong>is gold expected to go up or down. <\/strong>Well, the honest answer is that nobody knows. Bank forecasts routinely disagree roughly by more than 25% on the same twelve-month horizon. A better approach is conditional. Instead of predicting, define what would have to be true:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>If real yields fall and the dollar softens, the case for gold strengthens.<\/li>\n\n\n\n<li>If inflation stays high and central banks keep tightening, the headwind persists.<\/li>\n\n\n\n<li>If a liquidity event hits, expect an initial drop before any recovery.<\/li>\n\n\n\n<li>If central banks keep accumulating, downside is likely to be cushioned.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Trading Gold Prices in Both Directions<\/strong><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Here is the part most beginners overlook. A falling market is only bad news if you can only buy. <a href=\"https:\/\/www.vtmarkets.com\/faq\/why-vt-markets-is-the-best-cfd-broker-for-gold-trading\/\" target=\"_blank\" rel=\"noopener\" title=\"\">Gold CFDs<\/a> let you take a position in either direction, which means the reasons gold prices fall become tradeable rather than frustrating.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Going long benefits when the price rises.<\/li>\n\n\n\n<li>Going short benefits when the price falls.<\/li>\n\n\n\n<li>No physical delivery, storage or insurance is involved.<\/li>\n\n\n\n<li><strong>Leverage<\/strong> amplifies both outcomes, so <strong>position sizing<\/strong> matters more than direction.<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Pro tip on sizing:<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Work backwards from your risk, never forwards from your conviction. For example:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Account balance: $5,000<\/li>\n\n\n\n<li>Risk per trade at 1%: $50<\/li>\n\n\n\n<li>Planned stop distance: $25<\/li>\n\n\n\n<li>Risk per standard lot: 100 x $25 = $2,500<\/li>\n\n\n\n<li>Correct position size: $50 \/ $2,500 = <strong>0.02 lots<\/strong><\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Managing Risk When Volatility Rises<\/strong><\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Gold&#8217;s daily range can double during a crisis. A stop that was sensible last month may be far too tight today. Widen stops to reflect current volatility, then cut position size to keep cash risk identical. Use a stop-loss in every position without exception.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Reduce leverage when average true range expands sharply. Avoid oversized positions with scheduled inflation and central bank announcements. In addition, keep a written journal so you can separate bad luck from bad processes.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Note: <\/strong>Traders or investors can use the <a href=\"https:\/\/www.vtmarkets.com\/en-ca\/discover\/how-to-trade-the-gold-silver-ratio\/\" target=\"_blank\" rel=\"noopener\" title=\"\">gold\/silver ratio <\/a>as a relative-value indicator to manage precious metals exposure during periods of gold weakness. When the ratio is historically high, some traders consider strategies that favour silver over gold, expecting the ratio to normalise.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">However, the strategy carries risks because silver is typically more volatile and has greater industrial exposure than gold.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Frequently Asked Questions (FAQs)<\/strong><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Q1: Why do gold prices fall?<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Gold prices fall mainly when the opportunity cost of holding a non-yielding asset rises. That happens when real interest rates increase, when the US dollar strengthens, when investors rotate into riskier assets, or when leveraged holders are forced to sell to raise cash.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Q2: Why does gold fall when interest rates rise?<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Gold pays no interest, dividend or coupon. When rates rise, cash and government bonds offer a competitive risk-free return, so the cost of choosing gold goes up. If a one-year Treasury bill yields 5%, gold must rise 5% just to match it. Institutions reduce exposure rather than pay that hurdle indefinitely.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Q3: Why does gold fall when the US dollar strengthens?<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Gold is priced in US dollars globally. When the dollar rises, gold becomes more expensive for buyers using rupees, yuan, euros or ringgit, which reduces overseas physical demand. Dollar strength also usually reflects higher US yields, which is a second headwind acting at the same time.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Q4: Gold is an inflation hedge, so why does it fall when inflation is high?<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Gold hedges unexpected inflation and loss of confidence in currencies, not inflation that central banks are actively fighting. High inflation prompts rate hikes, which lift nominal yields faster than inflation expectations and push real yields positive. That combination is historically the strongest headwind gold faces.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Q5: Does central bank selling make gold prices fall?<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">It can, though outright selling is now rare. Central banks have been substantial net buyers in recent years, purchasing roughly 863 tonnes in 2025. The larger risk to the price is not selling but a slowdown in buying, which removes a steady source of demand and leaves the market more exposed to speculative flows.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Trade Gold in Any Direction With VT Markets<\/strong><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Gold prices fall for reasons that are mechanical, repeatable and knowable. Rates, the dollar, positioning and liquidity explain almost every major drop in the metal&#8217;s history. This also includes the ones that happened in the middle of a crisis. Once you understand the drivers, a red candle stops being a contradiction and becomes information.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">With <a href=\"https:\/\/www.vtmarkets.com\/precious-metals\/\" target=\"_blank\" rel=\"noopener\" title=\"\">VT Markets<\/a>, you can trade XAUUSD CFDs on <a href=\"https:\/\/www.vtmarkets.com\/metatrader-4\/\" target=\"_blank\" rel=\"noopener\" title=\"\">MetaTrader 4<\/a> and <a href=\"https:\/\/www.vtmarkets.com\/metatrader-5\/\" target=\"_blank\" rel=\"noopener\" title=\"\">MetaTrader 5<\/a> with competitive spreads, fast execution and full charting.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Open a <a href=\"https:\/\/www.vtmarkets.com\/trade-now\/\" target=\"_blank\" rel=\"noopener\" title=\"\">live account,<\/a> or test your approach on a<a href=\"https:\/\/www.vtmarkets.com\/demo-account\/\" target=\"_blank\" rel=\"noopener\" title=\"\"> demo account<\/a> first, and start trading gold on your terms.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><em>This article is intended for informational and educational purposes only and does not constitute investment, financial, or professional advice. Trading Gold and other financial instruments involves significant risk, including the possible loss of capital. Past performance is not indicative of future results. Always conduct your own research and consider seeking independent professional advice before making any trading decisions.<\/em><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><em>This article is intended for informational and educational purposes only and does not constitute investment, financial, or professional advice. Trading Gold and other financial instruments involves significant risk, including the possible loss of capital. Past performance is not indicative of future results. Always conduct your own research and consider seeking independent professional advice before making any trading decisions.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Gold prices fall during geopolitical crises for key reasons. Explore historic crashes, market drivers and ways to analyse gold moves in both directions.<\/p>\n","protected":false},"author":87,"featured_media":0,"comment_status":"","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[3],"tags":[],"class_list":["post-58244","post","type-post","status-publish","format-standard","hentry","category-discover"],"acf":{"acf_article_selection_author":null},"aioseo_notices":[],"aioseo_head":"\n\t\t<!-- All in One SEO Pro 4.9.10 - aioseo.com -->\n\t<meta name=\"description\" content=\"Gold prices fall during geopolitical crises for key reasons. Explore historic crashes, market drivers and ways to analyse gold moves in both directions.\" \/>\n\t<meta name=\"robots\" content=\"max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n\t<link rel=\"canonical\" href=\"https:\/\/www.vtmarkets.com\/en-ca\/discover\/why-can-gold-prices-fall-during-geopolitical-crises\/\" \/>\n\t<meta name=\"generator\" content=\"All in One SEO Pro (AIOSEO) 4.9.10\" \/>\n\n\t\t<script type=\"text\/javascript\"> (function(c,l,a,r,i,t,y){ c[a]=c[a]||function(){(c[a].q=c[a].q||[]).push(arguments)}; t=l.createElement(r);t.async=1;t.src=\"https:\/\/www.clarity.ms\/tag\/\"+i; y=l.getElementsByTagName(r)[0];y.parentNode.insertBefore(t,y); })(window, document, \"clarity\", \"script\", \"hvd42hy9tt\"); <\/script>\n\t\t<meta property=\"og:locale\" content=\"en_US\" \/>\n\t\t<meta property=\"og:site_name\" content=\"VT Markets -\" \/>\n\t\t<meta property=\"og:type\" content=\"article\" \/>\n\t\t<meta property=\"og:title\" content=\"Why Can Gold Prices Fall During Geopolitical Crises - VT Markets\" \/>\n\t\t<meta property=\"og:description\" content=\"Gold prices fall during geopolitical crises for key reasons. Explore historic crashes, market drivers and ways to analyse gold moves in both directions.\" \/>\n\t\t<meta property=\"og:url\" content=\"https:\/\/www.vtmarkets.com\/en-ca\/discover\/why-can-gold-prices-fall-during-geopolitical-crises\/\" \/>\n\t\t<meta property=\"article:published_time\" content=\"2026-08-03T10:16:12+00:00\" \/>\n\t\t<meta property=\"article:modified_time\" content=\"2026-08-03T10:16:12+00:00\" \/>\n\t\t<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/vtmarketsglobal\/\" \/>\n\t\t<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n\t\t<meta name=\"twitter:site\" content=\"@vtmarketsglobal\" \/>\n\t\t<meta name=\"twitter:title\" content=\"Why Can Gold Prices Fall During Geopolitical Crises - VT Markets\" \/>\n\t\t<meta name=\"twitter:description\" content=\"Gold prices fall during geopolitical crises for key reasons. Explore historic crashes, market drivers and ways to analyse gold moves in both directions.\" \/>\n\t\t<meta name=\"twitter:creator\" content=\"@vtmarketsglobal\" \/>\n\t\t<script type=\"application\/ld+json\" class=\"aioseo-schema\">\n\t\t\t{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\\\/discover\\\/why-can-gold-prices-fall-during-geopolitical-crises\\\/#breadcrumblist\",\"itemListElement\":[{\"@type\":\"ListItem\",\"@id\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca#listItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\",\"nextItem\":{\"@type\":\"ListItem\",\"@id\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\\\/category\\\/discover\\\/#listItem\",\"name\":\"Discover\"}},{\"@type\":\"ListItem\",\"@id\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\\\/category\\\/discover\\\/#listItem\",\"position\":2,\"name\":\"Discover\",\"item\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\\\/category\\\/discover\\\/\",\"nextItem\":{\"@type\":\"ListItem\",\"@id\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\\\/discover\\\/why-can-gold-prices-fall-during-geopolitical-crises\\\/#listItem\",\"name\":\"Why Can Gold Prices Fall During Geopolitical Crises\"},\"previousItem\":{\"@type\":\"ListItem\",\"@id\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca#listItem\",\"name\":\"Home\"}},{\"@type\":\"ListItem\",\"@id\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\\\/discover\\\/why-can-gold-prices-fall-during-geopolitical-crises\\\/#listItem\",\"position\":3,\"name\":\"Why Can Gold Prices Fall During Geopolitical Crises\",\"previousItem\":{\"@type\":\"ListItem\",\"@id\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\\\/category\\\/discover\\\/#listItem\",\"name\":\"Discover\"}}]},{\"@type\":\"Organization\",\"@id\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\\\/#organization\",\"name\":\"VT Markets\",\"description\":\"Trading Made Easy. VT Markets is a reputable online broker making a strong offering for global traders interested in forex, CFDs, stocks, cryptocurrencies, and more, backed by solid regulatory oversight and comprehensive trading platforms. Its broad asset coverage and efficient trade execution, combined with educational and analytical resources, make it suitable for traders at different experience levels, particularly those looking for versatility and accessibility in global markets\",\"url\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\\\/\",\"telephone\":\"+27101412968\",\"sameAs\":[\"https:\\\/\\\/www.facebook.com\\\/vtmarketsglobal\\\/\",\"https:\\\/\\\/x.com\\\/vtmarketsglobal\",\"https:\\\/\\\/www.instagram.com\\\/vtmarkets\\\/\",\"https:\\\/\\\/www.tiktok.com\\\/@vtmarketsglobal\",\"https:\\\/\\\/youtube.com\\\/@vtmarkets\",\"https:\\\/\\\/www.linkedin.com\\\/company\\\/vt-markets\\\/\"]},{\"@type\":\"Person\",\"@id\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\\\/author\\\/josephine\\\/#author\",\"url\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\\\/author\\\/josephine\\\/\",\"name\":\"josephine\",\"image\":{\"@type\":\"ImageObject\",\"@id\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\\\/discover\\\/why-can-gold-prices-fall-during-geopolitical-crises\\\/#authorImage\",\"url\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/7809ddd0668c6cd297bde70914f1903a959aa8d1a194930855d6c5b37e53a6f0?s=96&d=mm&r=g\",\"width\":96,\"height\":96,\"caption\":\"josephine\"}},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\\\/discover\\\/why-can-gold-prices-fall-during-geopolitical-crises\\\/#webpage\",\"url\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\\\/discover\\\/why-can-gold-prices-fall-during-geopolitical-crises\\\/\",\"name\":\"Why Can Gold Prices Fall During Geopolitical Crises - VT Markets\",\"description\":\"Gold prices fall during geopolitical crises for key reasons. Explore historic crashes, market drivers and ways to analyse gold moves in both directions.\",\"inLanguage\":\"en-US\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\\\/#website\"},\"breadcrumb\":{\"@id\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\\\/discover\\\/why-can-gold-prices-fall-during-geopolitical-crises\\\/#breadcrumblist\"},\"author\":{\"@id\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\\\/author\\\/josephine\\\/#author\"},\"creator\":{\"@id\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\\\/author\\\/josephine\\\/#author\"},\"datePublished\":\"2026-08-03T10:16:12+00:00\",\"dateModified\":\"2026-08-03T10:16:12+00:00\"},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\\\/#website\",\"url\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\\\/\",\"name\":\"VT Markets\",\"inLanguage\":\"en-US\",\"publisher\":{\"@id\":\"https:\\\/\\\/www.vtmarkets.com\\\/en-ca\\\/#organization\"}}]}\n\t\t<\/script>\n\t\t<!-- All in One SEO Pro -->\r\n\t\t<title>Why Can Gold Prices Fall During Geopolitical Crises - VT Markets<\/title>\n\n","aioseo_head_json":{"title":"Why Can Gold Prices Fall During Geopolitical Crises - VT Markets","description":"Gold prices fall during geopolitical crises for key reasons. Explore historic crashes, market drivers and ways to analyse gold moves in both directions.","canonical_url":"https:\/\/www.vtmarkets.com\/en-ca\/discover\/why-can-gold-prices-fall-during-geopolitical-crises\/","robots":"max-snippet:-1, max-image-preview:large, max-video-preview:-1","keywords":"","webmasterTools":{"miscellaneous":"&lt;script type=\"text\/javascript\"&gt; (function(c,l,a,r,i,t,y){ c[a]=c[a]||function(){(c[a].q=c[a].q||[]).push(arguments)}; t=l.createElement(r);t.async=1;t.src=\"https:\/\/www.clarity.ms\/tag\/\"+i; y=l.getElementsByTagName(r)[0];y.parentNode.insertBefore(t,y); })(window, document, \"clarity\", \"script\", \"hvd42hy9tt\"); &lt;\/script&gt;"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"BreadcrumbList","@id":"https:\/\/www.vtmarkets.com\/en-ca\/discover\/why-can-gold-prices-fall-during-geopolitical-crises\/#breadcrumblist","itemListElement":[{"@type":"ListItem","@id":"https:\/\/www.vtmarkets.com\/en-ca#listItem","position":1,"name":"Home","item":"https:\/\/www.vtmarkets.com\/en-ca","nextItem":{"@type":"ListItem","@id":"https:\/\/www.vtmarkets.com\/en-ca\/category\/discover\/#listItem","name":"Discover"}},{"@type":"ListItem","@id":"https:\/\/www.vtmarkets.com\/en-ca\/category\/discover\/#listItem","position":2,"name":"Discover","item":"https:\/\/www.vtmarkets.com\/en-ca\/category\/discover\/","nextItem":{"@type":"ListItem","@id":"https:\/\/www.vtmarkets.com\/en-ca\/discover\/why-can-gold-prices-fall-during-geopolitical-crises\/#listItem","name":"Why Can Gold Prices Fall During Geopolitical Crises"},"previousItem":{"@type":"ListItem","@id":"https:\/\/www.vtmarkets.com\/en-ca#listItem","name":"Home"}},{"@type":"ListItem","@id":"https:\/\/www.vtmarkets.com\/en-ca\/discover\/why-can-gold-prices-fall-during-geopolitical-crises\/#listItem","position":3,"name":"Why Can Gold Prices Fall During Geopolitical Crises","previousItem":{"@type":"ListItem","@id":"https:\/\/www.vtmarkets.com\/en-ca\/category\/discover\/#listItem","name":"Discover"}}]},{"@type":"Organization","@id":"https:\/\/www.vtmarkets.com\/en-ca\/#organization","name":"VT Markets","description":"Trading Made Easy. VT Markets is a reputable online broker making a strong offering for global traders interested in forex, CFDs, stocks, cryptocurrencies, and more, backed by solid regulatory oversight and comprehensive trading platforms. Its broad asset coverage and efficient trade execution, combined with educational and analytical resources, make it suitable for traders at different experience levels, particularly those looking for versatility and accessibility in global markets","url":"https:\/\/www.vtmarkets.com\/en-ca\/","telephone":"+27101412968","sameAs":["https:\/\/www.facebook.com\/vtmarketsglobal\/","https:\/\/x.com\/vtmarketsglobal","https:\/\/www.instagram.com\/vtmarkets\/","https:\/\/www.tiktok.com\/@vtmarketsglobal","https:\/\/youtube.com\/@vtmarkets","https:\/\/www.linkedin.com\/company\/vt-markets\/"]},{"@type":"Person","@id":"https:\/\/www.vtmarkets.com\/en-ca\/author\/josephine\/#author","url":"https:\/\/www.vtmarkets.com\/en-ca\/author\/josephine\/","name":"josephine","image":{"@type":"ImageObject","@id":"https:\/\/www.vtmarkets.com\/en-ca\/discover\/why-can-gold-prices-fall-during-geopolitical-crises\/#authorImage","url":"https:\/\/secure.gravatar.com\/avatar\/7809ddd0668c6cd297bde70914f1903a959aa8d1a194930855d6c5b37e53a6f0?s=96&d=mm&r=g","width":96,"height":96,"caption":"josephine"}},{"@type":"WebPage","@id":"https:\/\/www.vtmarkets.com\/en-ca\/discover\/why-can-gold-prices-fall-during-geopolitical-crises\/#webpage","url":"https:\/\/www.vtmarkets.com\/en-ca\/discover\/why-can-gold-prices-fall-during-geopolitical-crises\/","name":"Why Can Gold Prices Fall During Geopolitical Crises - VT Markets","description":"Gold prices fall during geopolitical crises for key reasons. Explore historic crashes, market drivers and ways to analyse gold moves in both directions.","inLanguage":"en-US","isPartOf":{"@id":"https:\/\/www.vtmarkets.com\/en-ca\/#website"},"breadcrumb":{"@id":"https:\/\/www.vtmarkets.com\/en-ca\/discover\/why-can-gold-prices-fall-during-geopolitical-crises\/#breadcrumblist"},"author":{"@id":"https:\/\/www.vtmarkets.com\/en-ca\/author\/josephine\/#author"},"creator":{"@id":"https:\/\/www.vtmarkets.com\/en-ca\/author\/josephine\/#author"},"datePublished":"2026-08-03T10:16:12+00:00","dateModified":"2026-08-03T10:16:12+00:00"},{"@type":"WebSite","@id":"https:\/\/www.vtmarkets.com\/en-ca\/#website","url":"https:\/\/www.vtmarkets.com\/en-ca\/","name":"VT Markets","inLanguage":"en-US","publisher":{"@id":"https:\/\/www.vtmarkets.com\/en-ca\/#organization"}}]},"og:locale":"en_US","og:site_name":"VT Markets -","og:type":"article","og:title":"Why Can Gold Prices Fall During Geopolitical Crises - VT Markets","og:description":"Gold prices fall during geopolitical crises for key reasons. Explore historic crashes, market drivers and ways to analyse gold moves in both directions.","og:url":"https:\/\/www.vtmarkets.com\/en-ca\/discover\/why-can-gold-prices-fall-during-geopolitical-crises\/","article:published_time":"2026-08-03T10:16:12+00:00","article:modified_time":"2026-08-03T10:16:12+00:00","article:publisher":"https:\/\/www.facebook.com\/vtmarketsglobal\/","twitter:card":"summary_large_image","twitter:site":"@vtmarketsglobal","twitter:title":"Why Can Gold Prices Fall During Geopolitical Crises - VT Markets","twitter:description":"Gold prices fall during geopolitical crises for key reasons. Explore historic crashes, market drivers and ways to analyse gold moves in both directions.","twitter:creator":"@vtmarketsglobal"},"aioseo_meta_data":{"post_id":"58244","title":null,"description":null,"keywords":null,"keyphrases":null,"canonical_url":null,"og_title":null,"og_description":null,"og_object_type":"default","og_image_type":"default","og_image_custom_url":null,"og_image_custom_fields":null,"og_custom_image_width":null,"og_custom_image_height":null,"og_video":null,"og_custom_url":null,"og_article_section":null,"og_article_tags":null,"twitter_use_og":false,"twitter_card":"default","twitter_image_type":"default","twitter_image_custom_url":null,"twitter_image_custom_fields":null,"twitter_title":null,"twitter_description":null,"schema_type":null,"schema_type_options":null,"pillar_content":false,"robots_default":true,"robots_noindex":false,"robots_noarchive":false,"robots_nosnippet":false,"robots_nofollow":false,"robots_noimageindex":false,"robots_noodp":false,"robots_notranslate":false,"robots_max_snippet":null,"robots_max_videopreview":null,"robots_max_imagepreview":"none","tabs":null,"priority":null,"frequency":null,"local_seo":null,"created":"2026-08-03 10:16:12","updated":"2026-08-03 10:16:12"},"aioseo_breadcrumb":"<div class=\"aioseo-breadcrumbs\"><span class=\"aioseo-breadcrumb\">\n\t<a href=\"https:\/\/www.vtmarkets.com\/en-ca\" title=\"Home\">Home<\/a>\n<\/span><span class=\"aioseo-breadcrumb-separator\">\u00bb<\/span><span class=\"aioseo-breadcrumb\">\n\t<a href=\"https:\/\/www.vtmarkets.com\/en-ca\/category\/discover\/\" title=\"Discover\">Discover<\/a>\n<\/span><span class=\"aioseo-breadcrumb-separator\">\u00bb<\/span><span class=\"aioseo-breadcrumb\">\n\tWhy Can Gold Prices Fall During Geopolitical Crises\n<\/span><\/div>","aioseo_breadcrumb_json":[{"label":"Home","link":"https:\/\/www.vtmarkets.com\/en-ca"},{"label":"Discover","link":"https:\/\/www.vtmarkets.com\/en-ca\/category\/discover\/"},{"label":"Why Can Gold Prices Fall During Geopolitical Crises","link":"https:\/\/www.vtmarkets.com\/en-ca\/discover\/why-can-gold-prices-fall-during-geopolitical-crises\/"}],"_links":{"self":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/58244","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/users\/87"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/comments?post=58244"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/58244\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/media?parent=58244"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/categories?post=58244"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/tags?post=58244"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}