Gold fell on Monday (March 9, 2026), as a stronger U.S. dollar weighed on ⁠the greenback-priced bullion, while higher energy costs fuelled inflation concerns and further dimmed the prospects for near-term reductions in interest rates.

Spot gold was ‌down 1.5% at $5,091.02 per ounce, as of 0233 GMT, after falling more than 2% earlier in the ‌session. U.S. gold futures for April delivery were down ‌1.2% ⁠at $5,097.40.

The dollar rose to a more-than-three-month high, making bullion ⁠more expensive for holders of other currencies.

The U.S. 10-year Treasury yields climbed to a one-month high, raising the cost of holding non-yielding gold.

“Gold is on the back foot today ‌despite the market tumult, with triple-digit oil prices boosting the dollar on inflation fears and scaled back rate-cutting expectations,” said Tim Waterer, KCM Trade chief market analyst.

“Much of gold’s price rise over the last 12 months was predicated ‌on a dovish outlook for U.S. interest rates, but given the inflation risk presented by $100 per barrel oil, rate cuts are no longer a given and gold has repriced accordingly,” Waterer said.

Investors expect the U.S. Federal Reserve to keep interest rates steady at the end of its two-day meeting on ‌March 18, as per CME Group’s FedWatch tool. The odds of a June hold, which were below 43% last week, climbed to more than 51%.

Bullion tends to thrive in ⁠a low-interest-rate environment as it is a non-yielding asset.

Raising geopolitical tensions ⁠in the Middle East, Iran on Monday named Mojtaba Khamenei to succeed his father, Ali Khamenei, as supreme leader, ‌signalling that hardliners remain firmly in charge.

Spot silver dropped 1.5% to $83.09 per ounce. Spot platinum fell 1.1% to $2,111.04, and palladium was down 1.4% at $1,603.25. — Reuters