The paper value of global gold and silver holdings dropped by approximately $400 billion within a 15-minute window on Wednesday. This decline followed a sharp rise in US Treasury yields, which reached their highest levels since 2002. Gold prices fell from roughly $4,120 to $4,066 per ounce, while silver dropped from $60.13 to $59.00.
The total loss figure is based on the World Gold Council estimate of 7 billion ounces of historically mined gold. A price decrease of $54 per ounce accounts for a reduction of about $375 billion in total value, while silver contributed an additional $67 billion to the decline. Analysts noted that these figures represent a repricing of existing assets rather than capital outflows.
The 10-year US Treasury yield climbed to 5.35%, and the 30-year yield reached 5.70%. Investors moved away from non-interest-bearing metals as bond yields increased. Market participants were also preparing for a $39 billion auction of 10-year notes and the release of Federal Reserve meeting minutes, where rates were previously set at 3.75% to 4.00%.
CME FedWatch data indicates a 69% probability of another interest rate hike by the Federal Reserve in December. Gold has experienced a 7.2% decline over the past month. Market experts suggest that 2026 may become the most volatile year for precious metals since 1982, as yields continue to influence asset pricing.
