Global gold and silver prices extended their losses in Friday’s trading (February 6), weighed down by a stronger U.S. dollar and a broad sell-off in global technology stocks. The decline erased most of the gains recorded during the precious metals’ brief rebound earlier this week.
According to Reuters, spot gold fell 0.7% to US$4,735.99 per ounce, while gold futures dropped a sharper 2.8% to US$4,752.40. Spot silver plunged 3.2% to US$68.97 per ounce.
Among other precious metals, spot platinum slid 3.6% to US$1,916.45, while palladium bucked the trend, rising 1.3% to US$1,638.25.
The pressure stemmed largely from weakness in global equity markets. The MSCI index declined amid growing concerns over the massive investment costs associated with artificial intelligence (AI). Technology stocks once again led the sell-off, while investors shifted toward government bonds following labor market data that signaled softening economic conditions.
The U.S. dollar index climbed to a two-week high, supported by heightened stock market volatility. A stronger dollar typically weighs on dollar-denominated commodities, including gold and silver.
In the United States, job openings fell by 386,000 to 6.542 million at the end of December, marking the lowest level since September 2020. Historically, a weakening labor market increases expectations for interest rate cuts to support job creation.
Investors are currently pricing in at least two interest rate cuts of 25 basis points in 2026, with the first expected as early as June. In a low-interest-rate environment, gold—being a non-yielding asset—tends to become more attractive to investors.