Gold prices decline for the third consecutive day in global markets

Gold prices declined for the third consecutive trading session in global markets, driven by rising oil prices, gains in the US dollar, and increases in bond yields. While spot gold fell below $4,150, gram gold traded at 6,607 TL. Investors are awaiting the US Federal Reserve's (Fed) interest rate decision and inflation data.

In global markets, high oil prices heighten inflation concerns, while the appreciation of the US dollar and rising bond yields intensify pressure on gold prices. Influenced by these developments, spot gold recorded a decline for the third consecutive trading session, pulling back below the $4,150 level. In the domestic market, where spot gold prices in international markets, the USD/TRY exchange rate, and physical demand are influential, gram gold was sold for approximately 6,607 TL as of the morning of Tuesday, October 20, 2026. On the same date, quarter gold stood at 10,801 TL, half gold at 21,595 TL, full gold at 43,086.29 TL, Cumhuriyet gold at 43,064 TL, gremse gold at 108,046.15 TL, and spot gold at $4,145.02.

Geopolitical risks in the Middle East and Eastern Europe increase uncertainties regarding energy supply, while Iran's continued control over the Strait of Hormuz keeps concerns alive in energy markets. It is assessed that persistently high oil prices could lead inflation to remain high for an extended period. This expectation reinforces projections that central banks may maintain tight monetary policies for longer. Gold, which does not provide yield, can lose its appeal for investors in a high-interest-rate environment. The US Personal Consumption Expenditures Price Index, expected to be released next week, and the monetary policy meeting to be held by the Fed on October 27-28 are on the agenda of investors. While expectations that the Fed—which raised its policy rate by 25 basis points in September to the 3.75-4.00 percent range—might keep rates unchanged at its October meeting come to the fore, the possibility of a new rate hike in December or a surprise rate hike in October is also being evaluated in the markets.